How will health care reform affect my health FSA program?
A602. Health care reform made three changes to health FSAs: • FSAs may no longer reimburse OTC medications (unless insulin or prescribed by a physician – effective 2011) • The maximum employee contribution limit is reduced to $2,500 (effective 2013 and indexed thereafter) • FSAs are included in the calculation of the Cadillac tax (effective 2018).
