What happens to funds contributed to FSA, if last day of employment is 11/15. Will I loose amount contributed for last 1.5 months, since there is no more pay check?
2 replies (most recent on top)
Yes to below- additionally you can use the FULL amount- not just what you contributed- but it all goes away your last day so if it’s Nov 15 be sure to use the full amount beforehand.
The employer pre-loaded the account at the beginning of the plan year before any contributions were made. The funds that you don't use get forfeited to the employer. After termination you are no longer responsible for paying the rest of your payroll contributions.