Number: |
06-208 |
Date: December 21, 2006 |
Subject: |
Tax Relief and Health Care Act of 2006 |
On December 20, 2006, President Bush signed the Tax Relief and Health Care Act of 2006. The Act provides additional benefits for employees interested in a High Deductible Health Plan (HDHP) with a Health Savings Account (HSA).
Under the new Act:
This is a one time transfer that can be made once the HSA is set-up with the HDHP. There may be a small processing fee for the transfer. FSAFEDS will notify participants regarding any fee.
In light of the new law, which was not in place during the FEHB Open Season and which will affect HSAs for 2007, FEHB Program enrollees should receive additional time to consider enrollment in an HDHP option. We are providing the following guidance regarding this special enrollment opportunity:
FSAFEDS enrollees must notify SHPS of their intention to revoke, change or transfer their HCFSA by December 31, 2006. Enrollees should go to the FSAFEDS web site at www.FSAFEDS.com or call SHPS at 1-877-372-3337 for further instructions.
Additional information is available at the FEHB webpage at www.opm.gov/hsa. Thank you for your assistance in making this new information available to your employees.
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Sincerely, Robert F. Danbeck |
Download this Letter as a PDF File [47 KB] |
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