125 Plan Contribution Limits Remain Unchanged for 2015

The IRS recently announced that the maximum annual contribution limit for Flexible Spending Accounts will edge up $50 to $2,550 for 2015. This allows employers to increase their plan limits but it is not a mandatory change. Unfortunately, this announcement was made after many NRECA cooperatives had already submitted their plan design elections for 2015 and just as the employee open enrollment period began. Changing co-op plan design decisions at this time is not feasible and would be an additional administrative burden for benefits administrators. The CBA-administered 125 Plan participant contribution limit will remain at $2,500 for 2015 and will be increased for 2016.

If you have any questions, please contact the 125 Plan/HRA team at fsagroup@nreca.coop, or at 866.673.2299, option 1, then 4.