​​The IRS allows employers to offer a $550 carryover provision for a Health Care FSA plan, which permits participants to rollover up to $550 in unused FSA funds to the following calendar year. Any remaining balances which exceed $550 will be forfeited. The State System offers a $550 carryover for the Health Care FSA. The Dependent Care however, must be used DURING the plan year or money is forfeited. 

*Any carryover amount less than $5 will not carry over into the next calendar year*


Accessing Carryover Funds

Carryover amounts will be available at the beginning of April 2021

Run-out Period

You can submit 2020 expenses during the run-out period from January 1, 2021 - March 31, 2021.  After March 31, up to $550 left over in your 2020 health care FSA will move over to your 2021 health care FSA.  Any 2020 health care FSA balance ​over $550 will be forfeited.  ​

Submitting 2021 Expenses

You may only be reimbursed for 2021 expenses during the run-out period if you elected a 2021 Health Care FSA. If you do not have a current plan year election, you will need to wait until after carryover has occurred (April) to submit for reimbursement. You do not need to elect a current year Health Care FSA for your money to carryover, however you will not be able to access your funds until April when the carryover has occurred.   

​Using your Spending Account Card If you elected a 2021 Health Care FSA, you can use your spending card beginning January 1, 2021.  If you did not elect a 2021 Health Care FSA, but have a carryover, you will be provided with a FSA spending card in April 2021​.