The IRS has released Rev Proc 2019-144 announcing the 2020 health FSA limit of $2,750. The parking and transit limit has also increased to $270. Dependent care remains at $5,000.
May 28, 2019
IRS Releases 2020 HSA Limits
The IRS issued Rev. Proc. 2019-25 with the new HSA limits for 2020. The 2020 contribution limit for those with self only coverage is $3,550. The 2020 contribution limit for those with family coverage is $7,100.
May 21, 2019
Smart HSA Unveiled
Waltham, MA — May 21, 2019 — Alegeus, the market leader in consumer-directed healthcare (CDH) solutions, today announced that the industry’s first Smart HSA that features machine learning and artificial intelligence (AI) was presented for the first time during the 2019 Alegeus Client Conference. At the event, clients, prospects, and other industry stakeholders saw a detailed demonstration of the new Alegeus innovation that delivers a more intuitive, personalized, and self-guided account experience.
This next generation of the existing Alegeus solution provides broader support for the benefits lifecycle and greater influence across the full spectrum of healthcare benefits. It will guide employers and brokers to create smart plan designs and empower employees to make smart benefit choices during open enrollment and throughout the year to get the most value from every dollar they spend on out-of-pocket healthcare expenses. Capabilities demonstrated during the show included:
A modern, native mobile interface that integrates new health management capabilities with existing CDH self-service capabilities
Data-driven tools, including a personalized 'Smart Score,' that guide consumers to make intelligent choices on where to best spend and save their healthcare dollars
AI-based recommendations that use historical spending to drive better future outcomes (e.g. "You might have paid too much for this service.")
A virtual medicine cabinet for managing monthly drug costs
Long-term saving recommendations based on healthcare spending habits (e.g. “You have a chronic condition that will require you to have X dollars saved for retirement.”)
Intelligent prompts throughout the app to optimize the member experience for existing self-service functions beyond HSAs (e.g. "It looks like you need to provide a receipt for your latest debit card swipe.”)
Year-end recommendations about funding and account enrollment that are based on the past year of health and wealth activity (e.g. “It looks like you didn't hit your deductible or max out your HSA. Next year, we recommend the following funding levels.”)
“As consumer financial responsibility for healthcare grows, consumers and employers will no longer tolerate poor experiences. This is why we have worked diligently to deliver this market-disrupting innovation,” said Steven Auerbach, Alegeus CEO. “By providing a more personalized consumer experience and delivering meaningful insights to better guide spending and saving recommendations, the Smart HSA is well positioned to redefine the benefits selection process and revolutionize the industry.”
The Smart HSA is expected to be fully available to the market in Q1 2020. For more information please click here.
Alegeus is the market leader in consumer directed healthcare solutions, offering the industry’s most comprehensive platform for the administration of healthcare benefit accounts (including FSAs, HSAs, HRAs, wellness incentive, dependent care, and commuter accounts), the industry’s most widely-used benefit debit card, and powerful engagement solutions to help consumers maximize savings and optimize spending for their healthcare. Over 350 clients – including health insurance plans and third party administrators – leverage Alegeus’ deep expertise and proven technology to administer benefit accounts for more than 30 million members and process more than $9.1 billion in consumer healthcare payments annually. As the healthcare and benefit markets continue to evolve, Alegeus delivers solutions that enable clients to evolve their service offerings, operate their businesses more efficiently, and focus on their customers. The company is headquartered in Waltham, MA with operations in Orlando, FL and Milwaukee, WI.