FSA limits; debit cards; communication

What is everyone's limit for health care FSA annual maximums? Our is currently $2600 and several employees have asked if we're going to increase it (wanting to get lasix done, etc). I know the danger of employees using it all and then leaving early in the year, and the opposite danger for employees who don't use it and have to forfeit $$s at the end of the year. Just curious as to where we stack up against other companies. We're 1100+ employees now in 46 states. Government defense contractor.

Second question is on the FSA debit cards. How many companies really use them? We currently have Ceridian as our FSA vendor and some employees have asked about the debit cards.

And lastly, out of 1100 employees though, we have less then 50 participating in the health care and only half a dozen in the dependent care. With our employees all over the place (i.e., not able to do live face to face meetings), any help on how to communicate the benefits of an FSA plan would be appreciated. We have the same problem with our 401(k) of course.


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  • For our health care FSA max is $3000 per year. We do use the debit card and found them to be much easier to use. No waiting on reimbursement, sending in claim forms, etc.
  • Our max is $3,000; we use Debit cards (this is our first year), and we have found that its the exception rather than the rule that employees spend and leave. We actually have more funds forfeited by non-use. If you have a company Intranet, you could post the information on-line. We post on-line AND we mail information packages annually.
  • Our max is $5K and we also use debit cards. We have had a few people who used up early in the year and then left. Also had a couple who, after they submitted resignation, went out and "spent up" their limit before their notice had been worked out.

  • Sorry for the delayed response. Our limit is 5k annual. We don't use the debit cards but our carrier has what they call "streamline submissions". Basically, when they see you've spent out of pocket $$, they direct deposit the money to your account. Works out great, employees love it. Also, they don't have to pay anything at the pharmacy. It just deducts automatically from their FSA account with the insurance carrier. How great is that!
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