Flexible Spending Account (FSA): Form 5500: Who, What, When, Where & Why

What is a Form 5500?

The Annual Return/Report of Employee Benefit Plan (Form 5500) is an informational filing sent to the federal government. The U.S. Department of Labor (DOL) and the Internal Revenue Service (IRS) use these filings to oversee pension and benefit plans.

Who has to File and Why?

The ERISA status of the plan sponsor and plan, and the number of participants affects welfare benefit plan filing obligations. Welfare benefit plans include life, health (including health FSAs), disability, and related plans of an ERISA-subject sponsor.

Insured and "unfunded" welfare benefit plans with fewer than 100 participants (as of the beginning of the plan year) do not generally have to file a form 5500 on their welfare benefit plan. [This is often referred to as the small employer plan filing exception.]

An "unfunded" plan has its benefits paid directly form the general assets of the sponsoring employer or employee organization. Depending on how it is structured and benefits are paid, a health FSA may or may not qualify for the small employer plan filing exception. Alternatively, a health FSA may not need to file if it is sponsored by an entity that is not subject to ERISA. The primary examples of non-ERISA plan sponsors are governments (including public schools) and tax-exempt churches.

When is a Form 5500 Filing Due?

All required forms, schedules, and attachments must be filed by the last day of the 7th calendar month after the end of the plan year (unless a 2 1/2-month filing extension has been requested before the end of the initial filing period). For example, filings on calendar year plans are due by the end of the following July. The filing period may not exceed 12 months in length. For a short plan year (less than 12 months), the due date is the last day of the 7th month after the short plan year ends.

Where Do I File Form 5500?

File forms, schedules and any attachments on paper to:

EBSA
PO Box 7043
Lawrence KS 66044-7043

File on floppy disc, CD-ROM, or tape to:

EBSA
PO Box 7041
Lawrence KS 66044-7041

For private delivery service - filing on paper, floppy disc, CD-ROM, or tape:

EBSA
Attn: EFAST
3833 Greenway Dr
Lawrence KS 66046-1290

At the Principal Financial Group, we can prepare a Form 5500 on your health FSA. For questions about the Form 5500 or our preparation service, please contact your FSA Specialist.