POP Plan & HSA

[Guest KLM]

We have a number of clients who would like to offer HDHP and HSAs through their premium only cafeteria plans. With respect to amending the cafeteria plan document, what is required? I reviewed some websites that refer to the HSA module of the POP plan???? Thanks.

[Jacmo]

The HSA "premium" (election) is just like a health insurance premium, from the standpoint of a 125 plan. So all you have to do is amend the POP plan to include HSA as an eligible benefit. In addition, the SPD should have statements in it regarding the fact that HSA elections are not subject to the Change of Status rules, etc. So the plan document and SPD need to be updated to reflect the special provisions of HSAs as an eligible benefit.