What is the name of your state? TX
I left my previous company in June 2006.
During my exist interview I asked about my flexible spending accounts (child care and medical) to find out what deadline I had to spend that money and to submit receipts for reimbursement.
At the time I was told (verbally) that expenses could be incurred any time in 2006 and that receipts needed to be submitted before the end of March 2007.
In January 2007 I submitted receipts to get reimbursement from my flexible spending account. Most of these expenses were incurred before my last date of employment, some were after my last date of employment.
A couple weeks later, I received a letter from the flexible spending account administrator (ADP) rejecting my claims because they were submitted after the deadline.
I called ADP and was informed that all costs must have been incurred before my last date of employment and all receipts submitted within 30 days of my last day of employment.
Following I called and spoke to the same HR specialist that conducted my exit interview and asked her about my flexible spending account deadline. Again, she replied that I could incur costs until the end of 2006 and had until the end of March 2007 to submit my receipts. I recorded this conversation. I did not tell her (at first) that my claims had already been rejected.
This HR representative then referred me to an HR coordinator at corporate headquarters (in California) to "get my money back", but this person has not been returning my calls.
I have scoured the written material given to me in my exit interview and nowhere is the flexible spending account mentioned.
I feel that I was misled by my former employer, they should have known the policy and because I relied on their wrong information I am now looking to lose over $3,000 in flexible spending reimbursements.
If I had known I needed to incur the costs before my termination date, I have alternate receipts from that time period that I could have submitted.
What recourse do I have? and with which party (my employer or the benefits provider)?
I know that if one does not spend the money allocated to a flexible spending account, they lose it. But who keeps the money in that case? The employer? The insurance company? The IRS?
Who sets the conditions on when costs must be incurred and ? Is it set by tax law, benefit provider policy, or employer policy?
Thanks in Advance
I left my previous company in June 2006.
During my exist interview I asked about my flexible spending accounts (child care and medical) to find out what deadline I had to spend that money and to submit receipts for reimbursement.
At the time I was told (verbally) that expenses could be incurred any time in 2006 and that receipts needed to be submitted before the end of March 2007.
In January 2007 I submitted receipts to get reimbursement from my flexible spending account. Most of these expenses were incurred before my last date of employment, some were after my last date of employment.
A couple weeks later, I received a letter from the flexible spending account administrator (ADP) rejecting my claims because they were submitted after the deadline.
I called ADP and was informed that all costs must have been incurred before my last date of employment and all receipts submitted within 30 days of my last day of employment.
Following I called and spoke to the same HR specialist that conducted my exit interview and asked her about my flexible spending account deadline. Again, she replied that I could incur costs until the end of 2006 and had until the end of March 2007 to submit my receipts. I recorded this conversation. I did not tell her (at first) that my claims had already been rejected.
This HR representative then referred me to an HR coordinator at corporate headquarters (in California) to "get my money back", but this person has not been returning my calls.
I have scoured the written material given to me in my exit interview and nowhere is the flexible spending account mentioned.
I feel that I was misled by my former employer, they should have known the policy and because I relied on their wrong information I am now looking to lose over $3,000 in flexible spending reimbursements.
If I had known I needed to incur the costs before my termination date, I have alternate receipts from that time period that I could have submitted.
What recourse do I have? and with which party (my employer or the benefits provider)?
I know that if one does not spend the money allocated to a flexible spending account, they lose it. But who keeps the money in that case? The employer? The insurance company? The IRS?
Who sets the conditions on when costs must be incurred and ? Is it set by tax law, benefit provider policy, or employer policy?
Thanks in Advance