Employees: Learn More About Medical Flexible Spending Arrangement (FSA), Limited Purpose FSA, and Dependent Care Assistance Program (DCAP)
FSAs allow you to set aside pretax money from your paycheck to pay for out-of-pocket health care costs. DCAP allows you to also set aside pretax money from your paycheck to pay for qualifying childcare or elder care expenses. If you want to participate in the Medical FSA, Limited Purpose FSA, or DCAP for 2023, you must enroll during annual open enrollment even if you are not changing your contribution amounts. Navia Benefit Solutions must receive your enrollment no later than November 30, 2022.
The minimum contribution amount for the Medical FSA and Limited Purpose FSA in 2023 is $120 and the maximum is $2,850. The maximum annual amount for DCAP in 2023 is $5,000 per household ($2,500 each if you and your spouse file separate tax returns).
You may enroll one of two ways:
- Log in and enroll on Navia’s website at naviabenefits.com. (There are new login requirements; see below.)
- Complete the Navia 2023 Annual Open Enrollment form available on Navia’s website. Send the form to the email address, mailing address, or fax number on the form.
Navia Benefit Solutions must receive your enrollment no later than November 30, 2022.
You cannot have both a Medical FSA and a consumer-directed health plan (CDHP) with a health savings account (HSA) in the same year. If you enroll in both a Medical FSA and a CDHP, you will be automatically disenrolled from the Medical FSA.
However, if you have a CDHP with an HSA, you can enroll in a Limited Purpose FSA for eligible dental and vision expenses.
New login process for Navia Benefit Solutions
In October 2022, the login for the Navia Benefit Solution’s online enrollment and participant portal changed to require a Secure Access Washington (SAW) login. You can use an existing SAW login, or if you do not have one, you will be prompted to create one.
FSA funds may carryover
If you are enrolled in a Medical FSA or a Limited Purpose FSA for 2022, unused funds up to $570 may carry over to 2023. If you don’t enroll in an FSA for 2023, any amount over $570 or under $120 will be forfeited to the Health Care Authority after December 31, 2022.
To carry over your unused funds up to $570, you must either enroll in the Medical FSA or Limited Purpose FSA for 2023 or have at least $120 left in your 2022 balance.
Deadlines for claims
All 2022 Medical FSA and Limited Purpose FSA expenses must be incurred by December 31, 2022. You must submit all 2022 claims to Navia Benefit Solutions for reimbursement by March 31, 2023.
DCAP enrollees have until December 31, 2022 to incur expenses and submit claims against their 2021 or 2022 DCAP funds. (This extra 12 months for 2021 enrollees is a one-time leniency because of the COVID-19 pandemic.)
$250 Medical FSA contribution
Are you a represented employee whose rate of pay on November 1, 2022 is $50,004 a year or less? If so, you may be eligible to receive a $250 Medical FSA contribution from your employer in January 2023. This is part of your collective bargaining agreement. It will not come out of your paycheck. No action is required on your part.
If you have at least $120 left in your Medical FSA from 2022, the leftover amount (up to $570) will carry over to a Medical FSA for 2023. If you enroll in a consumer-directed health plan for 2023 and still have at least $120 in your Medical FSA from the previous year, the leftover amount will be converted to a Limited Purpose FSA.
Find out more on the PEBB Program’s FSA webpage.