Office of Human Resources

• Health Care Flexible Spending Account (HCFSA)
  • Switch from Grace period to Carryover for Plan Year 2025
    
  • The annual limit on employee contributions to a health FSA will be $3,300 for plan years beginning in 2025 (up from $3,200 in 2024). 
  • We’ve made it easier for you to keep your unused HCFSA funds. Instead of the previous Grace Period, you can now carryover up to $660 of your unused HCFSA balance into the next plan year (up from $640 in 2024). No more rushing to spend it all before the deadline!
  • This means a fixed amount (currently $660) of any unreimbursed funds that you do not have claims for by 12/31/2025 will be carried over into plan year 2026. Any funds over $660 are forfeit. The funds carried over are for expenses incurred in 2026. You cannot use the carryover amount for 2025 expenses. 
  • Please Note: The grace period is still in effect for plan year 2024. You may incur expenses from 1/1/25 through 3/15/25 for any unclaimed 2024 plan year funds. Keep in mind if you are enrolling in an HSA plan for 2025 you must spend down your balance by the end of the year.  You or your spouse cannot have any unreimbursed HCFSA funds on 12/31/2024 and contribute to an HSA on 1/1/25.
• Limited Purpose FSA
  • New option to compliment those enrolled/enrolling in a High Deductible Health plan (HDHP) with a Health Savings Account (HSA)
    
  • Starting this year 2025, you can take advantage of the Limited Purpose Flexible Spending Account (LPFSA) to save on dental and vision expenses – tax free!
    If you have an HSA, this account is designed to complement it, allowing you to maximize your savings on dental and vision care without affecting your HSA contributions.
  • Internal Revenue Service (IRS) rules clarify that you cannot contribute to a HSA and a HCFSA in the same plan year. A Limited Purpose FSA (LPFSA) allows employees to pay for eligible dental and vision expenses exclusively.   You can pair an HSA and an LPFSA thus increasing your tax savings potential while also allowing you to save and invest more in your HSA. 
  • LPFSA's work the same as the HCFSA. The 2025 contribution limits are the same as the HCFSA and will be using the carryover limits into the 2026 plan year.
• Dependent Care FSA - No changes to the plan
  • Dependent care will continue with the grace period into the 2026 plan year.
• HCFSA vs LPFSA vs DCFSA  quick overview

Action required: If you wish to renew a health care or dependent care  FSA or enroll in the Limited Purpose FSA accounts for 2025, you must make an active election though your Workday Open Enrollment Task.

• Due to the pre-tax nature of these programs, IRS regulations require that an active election be made each year.  Flexible spending accounts do not renew automatically.

Medical Coverage

• Our self-insured health plan is projected to experience an 11% to 15% increase in overall costs
• 5.5% modest employee increase
• Factors that contribute to increase:
  • Increased number and amount of high cost claims (medical expenses associated with very serious health conditions)
  • General medical cost inflation
  • Increased cost of prescription costs 
• 2025 Plan Comparison
• 2025 weekly rates   | 2025 semi-monthly rates
• Plan Enhancements:
  • Expanded Fertility Services
  • Progeny- NICU specialty care
  • Non-preferred (Tier III) mail order copay reduced from $150 to $100
• For those in the HPHC High Deductible Health Plan, deductibles will increase from $1,600 individual/$3,200 family  to $1,650 individual/$3,300 family, as mandated by the IRS.

Dental Coverage

• We are pleased to report that there will be no changes to the dental plan or rates for 2025!
  
  • Weekly rates  | Semi-monthly rates

Supplemental Vision

• We are pleased to report that there will be no changes to the vision plan or rates for 2025!

• Weekly rates   | Semi-monthly rates

Health Savings Account HSA for use with a High Deductible Health Plan HDHP. 

• Fidelity Learning Center - What is an HSA?
• 2025 Contribution Limits
  • $4,300 individual / $8,550 family.
  • $500 Brandeis Employer Contribution January 2025 - (part of your total contribution)
  • Age 55+ may elect an additional $1,000 in catch-up contributions
• HSA contributions are tax free every step of the way: when you put money in, as it potentially grows, and when you take it out to pay for qualified medical expenses.
• Must re-elect contribution amount for open enrollment.
  
  • May change amount at anytime during the year.
• Pair with Limited Purpose FSA for maximum savings.
• HSA vs FSA  quick overview.

Reminder: If you or your spouse are enrolling in a HDHP/HSA plan for 2025; neither you nor your spouse can be enrolled or have unreimbursed funds in the HCFSA (as of 1/1/2025).  You may enroll in an LPFSA for eligible dental and vision expenses for 1/1/2025 with an HSA.

As a reminder, this is also your opportunity to enroll in or change supplemental life insurance for 2025.

• Employee Life Insurance Benefit
• Spouse Supplemental Life Insurance Rates
• Child Life Insurance Rates

• The health care (standard or limited purpose) FSA annual maximum plan contribution limit is increasing from $3,200 to $3,300 in 2025.
  • Employees can carryover $660 from their medical FSA for taxable years beginning in 2025, which is a $20 increase from 2024. 

• The monthly commuter benefits limit in 2025 for mass transit and parking is $325 per month. 

• 2025 HSA contribution limit is $4,300 for an individual and $8,550 for family.
• Age 55+may elect and additional $1,000 catch up.

403(b) IRS Deferral Limit

• $23,500 under age 50; $31,000 age 50 and over
• Additional $11,250 age 60 – 63

• For those in the High Deductible Health Plan, deductibles will increase from $1,600

individual/$3,200 family to $1,650 individual/$3,300 family, as mandated by the IRS