On May 12, 2020, the IRS released Notice 2020-29, which provides temporary flexibility for mid-year election changes under a Section 125 cafeteria plan during calendar year 2020.The changes are designed to allow employers to respond to changes in employee needs as a result of the COVID-19 pandemic.This guidance relates to mid-year elections for self-insured and fully insured employer-sponsored health coverage, health flexible spending arrangements (health FSAs) and dependent care assistance programs (DCAPs).Additionally, the IRS released Notice 2020-33, which increases the limit for unused amounts remaining in a health or limited purpose FSA that may be carried over into the following year to $550 for 2020.Click here for the complete legal update.View Our COVID-19 Resource Page
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Publisher: Scott Insurance
Publisher: Scott Insurance
