Almost there! Spend down your Flexible Spending Accounts (FSA)
Health Care, Dependent Care, and Limited Purpose FSA Reminders
We are almost half way through our FY26 plan year (July 1, 2025 - June 30, 2026).
This article serves as a reminder to employees on their FSA accounts.
Use-it-or-lose-it by June 30, 2026
Funds in the FSAs must be elected each plan year and all funds must be used within
that same plan year. There is no rollover or refund on remaining amounts. All funds
must be spent on services on or before June 30, 2026.
Separating before June 30, 2026?
Funds are available up to your last day of employment. Employees cannot use funds
from their FSAs for services rendered after their separation date.
Universal availability (health care and limited purpose FSAs only)
Funds are available day one, even if employees have not contributed the full amount
yet. This means if an employee elects to have $1,000 if their health care FSA and
then experience a medical even that requires them to spend that full $1,000, they
can spend that full amount even if they have no yet contributed $1,000 via biweekly
deductions.
Dependent care does not work in this manner. Dependent care funds can only be spent as they are deposited into an employees account via regular biweekly deductions.
Coverage ends automatically on June 30, 2026
Wanting an FSA again next year? Plan ahead! These benefits will automatically stop
on June 30, 2026. Employees must re-enroll in an FSA each year in order to continue
the benefit.
Runout Period
The University does provide a runout period for FSAs where employees can submit charges
against their FSA between July 1 and September 30 each year. The charges must be against
services rendered on or before June 30.
Need more information?
Review the plans and their differences on our FSA webpage. Unsure how to spend your funds? Review ASIFlex's catalog and contact TouchCare!
Emailed via benefits newsletter on 12/2/2025.
Published via UA News on 12/5/2025.
Contact Benefits: (907) 450-8242 | ua-benefits@alaska.edu | schedule one-on-one time