The IRS has announced 2022 cost-of-living adjustments for certain tax provisions related to consumer-driven plans:
- The limit on voluntary employee salary reduction contributions to a health flexible spending account (FSA) increases $100 from 2021 to $2,850.
- The maximum carryover amount of unused FSA amounts goes up $20 to $570.
- The maximum reimbursement from a qualified small employer health reimbursement arrangement (QSEHRA) increases $150 to $5,450 for single coverage and $800 to $11,500 for family coverage. A “small employer” is defined as having fewer than 50 full-time employees.
- The monthly limit on fringe benefit exclusion for any transit pass is $280, up $10 from 2021. The exclusion amount for qualified parking also increases to $280.
MedBen clients with questions regarding these adjustments are welcome to contact Director of Administration Sharon A. Mills at (800) 423-3151, Ext. 438 or email@example.com.