What is an extended grace period? (HRA)

IRS Notice 2005-42 modifies the Use-or-Lose Rule to allow participants to access any unused amounts in a Health Reimbursement Account (HRA) at the end of the plan year to reimburse eligible expenses provided during a grace period after the close of the plan year. Note: The IRS does not require plans to include the extended […]

What is the length of the extended grace period?

If your plan includes the extended grace period, it is for 2-1/2 months after the end of the current plan year. You should refer to your Plan Highlights for the time frames that are applicable to your plan.