|Note:||At the request of the provost, a vice provost, or a vice president, this policy has been posted in the interim between scheduled posting dates by University Policy Manuals Group because it has significant and urgent importance for the university community. This policy will be included in the publication process by the next feasible posting for online policies and procedures.|
SPP 510: Flexible Spending Accounts
To provide eligible employees the opportunity to withhold pre-tax payroll deductions as contributions to flexible spending accounts to pay nonreimbursable health care expenses and/or employment-related adult and child care expenses
Internal Revenue Code § 125
Arizona Board of Regents Policy Manual - 6-604
Benefits-eligible, regular classified staff, university staff, and non-faculty administrators
An employee can participate in a health care flexible spending account plan to receive tax-free reimbursements for certain qualified health care expenses for himself or herself, spouse, and/or dependents who meet IRS eligibility requirements.
An employee can participate in a dependent-care flexible spending account to be reimbursed tax-free for certain adult and/or child care expenses that result from the person’s employment or full-time student status. An employee should refer to the plan document for specific eligibility requirements.
The coverage date varies depending on whether the employee enrolls as a new hire or newly benefits-eligible employee, as a result of a qualified life event, or during an open enrollment period and factors such as whether or not the employee is actively at work. An employee should refer to the plan document for specific information.
Benefit elections can be changed during an annual Open Enrollment period and may be able to be changed when there is an eligible qualifying life event. Qualifying life events are regulated by IRS Section 125 and may include, but are not limited to:
An employee has 30 calendar days to notify the Office of Human Resources, in writing, of a qualified life event to be eligible to make election changes.
When there is a loss of eligibility, employees may be able to continue coverage for a period of time as specified in the plan document. Loss of coverage qualifying events include, but are not limited to, separation from the university or reduction in hours worked.
For information on ASU employee benefit plans, see the Office of Human Resources Benefits Web page.
Find employee forms on the Office of Human Resources Web site.
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