Guest Pecos Posted November 3, 2008 Posted November 3, 2008 We have an employee going on disability leave in late December who has also elected the Flex Spending Account for 2009. We will not be able to deduct any of the pretax contributions since their will not be a paycheck in 2009 (while the employee is on leave). Should the employee pay us with after tax dollars (check) so they can access the entire annual election for 2009? They probably will return to work in March.
J Simmons Posted November 4, 2008 Posted November 4, 2008 Check out Treas Reg §1.125-3, A-3(a) for descriptions of three allowable options: Pre-pay, Pay-as-you-go, or Catch-up options for payment. Even if the disability leave is not FMLA leave, this might be a good practice to use if your plan document doesn't specify something else John Simmons johnsimmonslaw@gmail.com Note to Readers: For you, I'm a stranger posting on a bulletin board. Posts here should not be given the same weight as personalized advice from a professional who knows or can learn all the facts of your situation.
Recommended Posts
Create an account or sign in to comment
You need to be a member in order to leave a comment
Create an account
Sign up for a new account in our community. It's easy!
Register a new accountSign in
Already have an account? Sign in here.
Sign In Now