BN - UW FSA/LPFSA New Hire Enrollment Process

This business process outlines the procedure for making a new hire election to an employee's FSA.

Procedure At-A-Glance
Category: Flexible Spending Account Enrollments
Audience: Institution Benefit Administrators
Overarching Process: Benefits
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General Description

Employees can elect FSA upon new hire.

The FSA Enrollment form is to be used by employees to enroll into their Medical, Dependent Care, or Limited Purpose FSA annual elections within 30 days of hire. 

This business process outlines the procedure for enrolling a new employee in FSA within 30 days of hire. If an employee wants to enroll in Medical, Dependent Care or Limited Purpose FSA or make a change to an existing election due to a qualifying life event, they must enroll via "Change of Election" form. Visit BN - UW FSA/LPFSA Qualifying Event Process for that process. 

Process Inputs

  • Employee provides a completed FSA Enrollment form to a campus administrator.
Process Outputs
  • The Service Center sends an eligibility file to TASC.
Process Considerations
  • Applications must be submitted within 30 days of the employee's hire date.
  • If the employee is enrolling in the Limited Purpose FSA (LPFSA), verify in HRS that the employee is enrolled in the HDHP & HSA plans first. If the employee is not enrolled in these plans, they are not eligible for the LPFSA. Check with the employee to see if they meant to enroll in the medical FSA plan instead.

Procedure Steps

UW FSA/LPFSA New Hire Process

1. Employee submits enrollment application within 30 days of hire.

2. Benefits Office reviews enrollment form and enters into HRS. See below for enrollment application tips.

3. Application is filed in employee's benefits file.

4. Service Center sends files to TASC.

5. TASC creates an account for employee.

Enrollment Application Tips

Top Section

Employer Name: This should be Univ of WI-System

Employee Contact Info: Please note that regardless of what the employee writes on the form for their contact information, it is their current contact information in HRS that will be transmitted to TASC. For address, it will be what is listed as the "Home" address and for phone and email it will be the ones selected as "preferred." Emails from TASC will go to the preferred HRS email, not what the employee writes on the form.
  • If the employee would like to update their TASC profile, they may do so when their information has been transmitted to TASC and an account has been created.
Participant's Plan Effective Date: Coverage is effective the first of the month following receipt of application. When you enter this in HRS, use this date for the FSA or ADM Event date. BN - Adding Events to the BAS Activity Table

Date of First Payroll: Pay date of when first deduction is taken. Normally, this will be the payroll that includes the coverage effective date. 
  • Example: For a bi-weekly employee with coverage effective 4/1/15, the date of first payroll would be 4/16/15 (4A Pay Date).
Election Amounts Section

Employee Annual Salary Reduction Election: Make sure that this is an ANNUAL amount, not a per pay period amount. 
  • Note: In HRS, the annual election will be divided by the number of remaining pay periods in the calendar year to determine a pay period deduction. For 9-month employees, be sure to override and divide the annual election over the remaining pay periods in the calendar year. This assumes they are returning in the fall. (Note: FSA deductions are not taken in the summer months.)
Number of Payroll Deductions: Indicate the number of remaining payrolls here (reference remaining pay periods chart in related job aids section of this document).
  • Remember, employees cannot have deductions taken prior to their coverage effective date.

Related Policies, Job Aids and Forms

Related Policies

Related Forms

    Related Job Aids

      Keywords:fsa, flex, flexible spending account, era, employee reimbursement account, lpfsa, limited purpose, savings, saving, enrollment, tasc hire rehire   Doc ID:49765
      Owner:Samantha Q.Group:Human Resource System (HRS)
      Created:2015-03-30 15:44 CDTUpdated:2016-08-08 13:47 CDT
      Sites:Human Resource System (HRS)
      Feedback:  0   0