FSA configuration assistance needed to accommodate two open enrollments

Email: Yesmid.luviano@harrishealth.org

Need assistance with open enrollment configuration that supports multiple open enrollments and FSA IRS annual contributions for a calendar year without going over annual limits . We are currently completing an enrollment period thru 2/2023 and to commence another enrollment period from 03/1/23 – 09/30/23 (7 month stub year) and later a 3rd enrollment period from 10/01/23 – 09/30/24. What is the best practice to ensure we stay whole to the annual IRS contribution limit and deductions? Do you recommend using Calendar 2023 Balance ID which includes 26 pay periods and prorating max annual contribution? 

 

Configuration we are considering: We created as benefit program with an effective date of 3/1/2023.  Using a current row – 3/5/2022 FSA_BENEFITS_TABLE, add a 3/1/2023 row with a max contribution of 2850 and 10/1/2023 row with max contribution of 2850. How will the system know when to stop deducting for 2023 calendar year? Will the system know that Employee has maxed out during the 3/1/22 and 3/1/23 deductions?