What happens if I have money left in my 2019 FSA during the Grace Period?
You are able to use remaining funds in your 2019 plan year FSAs to pay for expenses incurred during the January 1, 2019 to March 15, 2020 Grace Period. (During the 2020 plan year, only the Dependent Care FSA will include a Grace Period with the Health Care FSA moving to a Carryover option. View the Health Care FSA with Carryover FAQs for more information.)
All standard payment options are available to eligible employees during the 2019 plan year Grace Period, including the WageWorks© Health Care Card, claim submissions using the Pay Me Back Claim Form, and the www.wageworks.com online claims reimbursement methods, or through the WageWorks© EZ Receipts smartphone app. Reimbursement Requests (claims) and requested substantiating documentation must be submitted by May 31, 2020. Your eligible claim(s) will be paid up to the balance remaining in your 2020 account.
Funds are withdrawn during the Grace Period using the “First-In, First-Out” method, where your 2019 contribution will be exhausted before drawing from 2020 plan year funds (if you enroll for 2020). If you exhaust your 2019 plan year FSA contribution funds before the end of the Grace Period, money will begin to be drawn from your 2020 FSA(s) to pay for expenses. If you do not enroll for the 2020 plan year, you will simply have the Grace Period to exhaust the remaining funds in your 2019 contribution.