bcspace Posted January 8, 2009 Posted January 8, 2009 I don't know why an employee wouldn't want to use up the prior year's first but the question is asked if an ee incurrs a claim in this plan year but the incurred date is still within the extension, can they opt to choose which plan year to make the claim in or are they forced to claim for the previous year while they still have money left there?
Guest Sieve Posted January 9, 2009 Posted January 9, 2009 There is no requirement that reimbursements for current year grace period expenses be paid out of last year's excess. I can think of a very good reason why an employee would want a claim for current year expenses incurred during the grace period to be applied to the current year (and NOT to the prior year): if that employee still has unbilled medical expenses from the prior year that he/she therefore hasn't yet been able to present for reimbursement, the employee would want to retain the unused prior year FSA amounts in order to reimburse for those prior year expenses.
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