New year health savings account, flexible spending account deductions overview

The new year is underway, and Human Resources would like to remind faculty and staff how health savings account (HSA) and flexible spending account (FSA) deductions will appear on their pay statement.

For those on the biweekly schedule, the first pay date of 2016 (which took place on Jan. 6) covered pay for Dec. 14 through Dec. 27, 2015.

HSA overview

The following will apply to HSA deductions for upcoming pay dates, and employees are encouraged to check their deductions on their pay statements to ensure that the information is correct.

* Biweekly employees who enrolled in the Purdue Health Plan Plus HSA 1 or Purdue Health Plan Plus HSA 2and elected to contribute to their HSA for the first time in 2016 will see their first HSA contribution on the second biweekly pay date in 2016, which falls today (Jan. 20). Employees in this group also will notice that the employer contribution will be double on this date to ensure its correctness at the end of 2016.

* The biweekly pay on Feb. 3 will reflect the deductions -- both employee and employer contributions -- that employees will see throughout the rest of 2016, unless the employee makes a change to his or her contribution amount.

* Employees paid on a monthly basis will see deductions beginning with the Jan. 29 pay date.

As a reminder, employees can change their own contribution any time during the calendar year. The 2016 maximum HSA contribution for those covered with employee-only medical insurance is $3,350 and $6,750 for employees who cover themselves plus one or more family member. Employees age 55 or older may contribute an additional $1,000 in 2016. These limits are determined annually by the IRS and include Purdue’s contributions and employee contributions combined. Contributions made by Purdue and the employee to the account are available for use on or after each pay date.

To change HSA contributions at any time, visit the Employee Portal and click the EBenefits link, located on the right-hand side of the page under Human Resources. 

Review the Frequently Asked Questions (FAQ) page on the Benefits website for additional HSA information.

FSA overview

The total contribution amount made to a standard health care flexible spending account as well as to a limited purpose flexible spending account is available as of Jan. 1, 2016. Employees who elected a dependent care flexible spending account can access the funds deposited into the account on or after each pay date. FSA contributions are elected annually during the open enrollment period and may not be changed during the year without a qualifying life event (change in family status).

The following will apply to FSA deductions for upcoming pay dates, and employees are encouraged to check their deductions on their pay statements to ensure that the information is correct.

* Biweekly employees will see their first FSA deductions on today’s (Jan. 20) pay stub.

* Employees paid on a monthly basis will see their deductions on the Jan. 29 pay date.

Employees continuing HSA and FSA accounts will keep the same debit card for 2016. To request a replacement or additional debit card log into your PayFlex account and select "Manage My Debit Card(s)" under the "Quick Links" section on the top left side of the screen. Contact Human Resources at 49-42222, hr@purdue.edu or www.purdue.edu/HRHelp for HSA or FSA assistance or questions. Employees at Calumet, Fort Wayne and North Central may contact their campus HR offices.