When the CARES Act was signed into law recently, it included new regulations for Health Savings Accounts (HSAs), as well as Flexible Spending Accounts (FSAs) and Health Reimbursement Arrangements (HRAs).
Here are some of the highlights:
- COVID-19 testing and treatment can be covered pre-deductible without losing your HSA-compatibility status.
- Telehealth services now may be covered pre-deductible when using a High Deductible Health Plan. (This provision is scheduled to expire on Dec. 31, 2021.)
- Over-the-counter medicines are permanently eligible for reimbursement from an HSA, FSA or HRA (beginning with expenses paid on or after Jan. 1, 2020).
- Menstrual products and feminine-hygiene products are permanently eligible for reimbursement from an HSA, FSA or HRA (beginning with expenses paid on or after Jan. 1, 2020).
As always, you should refer to your specific plan to determine what eligibility applies to you and your family as it relates to COVID-19 testing and treatment, particularly with telehealth services.
The Internal Revenue Service also has clarified that the deadline for HSA contributions for the 2019 tax year is now July 15, 2020 (extended from April 15), which aligns with the new deadline for filing a tax return.
At Old National, we are closely monitoring the COVID-19 (coronavirus) situation and working to keep you informed. You can visit our COVID-19 resource page for the latest updates.
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