If an employee selects the CDHP during annual enrollment, how can an employer determine if an employee still has funds in FSA prior to setting up a new HSA if an employee selects the CDHP?

Employers can check with their FSA administrator on the amount remaining in the employee’s FSA. ABCs can also run a query after annual enrollment to determine which employees enrolled in a CDHP and contact them about their FSA. The State, for example, will send a letter to state employees with a balance in their FSA who have enrolled in a CDHP letting them know they have to have a zero balance by December 31. 

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