$2,500 limit amendment

[Guest moseelig]

Are amendments required for plan documents that have limited employee contributions to $2,500 or less in previous years?

[Yesrod5]

A certain well-known national provider has included the following in its Q&A's that accompany its standard amendment packet:

"Q: Are all Cafeteria Plans with health FSAs required to be amended for this new limit?"

"A: No. The amendment is only needed for health FSAs that permit contributions over $2,500. If the limit is $2,500 or less, then no amendment is needed."