Can an employer allow an employee to elect an HSA mid-year if offered as a new benefit under the employer's Cafeteria Plan?

An employer may offer an HSA mid-year as a new benefit under a Cafeteria Plan and allow the employee to elect an HSA, so long as their election for the HSA is made on a prospective basis. In such a situation, however, they may have other coverage under the Cafeteria Plan that cannot be changed (e.g., coverage under a health flexible spending account) that may prevent them from being an eligible individual with respect to the HSA.

Introducing UMB HSA Saver

UMB HSA Saver is a unique investment platform designed with ease in mind. Account holders can easily research, buy and sell funds with a couple clicks.

How to Use ReceiptVault

Easily track and manage your healthcare receipts using ReceiptVault.

HSA FAQ Resource

Find answers to your most common HSA questions in our comprehensive HSA FAQs section.