The Benefit Stack sets the payment order when a member's expense is eligible for multiple benefits. Here's information on setting a custom configuration for an organization.
How to set the Benefit Stack order for an organization
Select Organizations.
Select the preferred organization.
Select Organization Settings.
Select the Benefits tab.
Under Benefit Stacking, drag and drop the benefits in the desired order
Partner Administrator Feature
This feature is only available for partner administrators. It is not available for employer administrators.
Wait. What’s a “Benefit Stack”?
Depletion order of funds
The sequence in which different health spending benefits (like a FSA, HRA, or HSA) are used to cover expenses, withdrawals, or distributions.
The Benefit Stack is our platform feature that allows you to set the payment order for when a member's expense is eligible for multiple benefits. The eligible benefit located highest on the stack is debited first. When applicable, the Benefit Stack order impacts both claims adjudication and card swipes.
Can you give me an example?
Sure! Let’s say the settings for an organization are below.
Benefit Stack Order |
FSA LP-FSA HSA |
Jane is a member of this organization, and she used her Health Wallet card to pay for a year's supply of contact lenses, an eligible expense for her HSA and LP-FSA. Jane's LP-FSA funds will first be used to pay for the contact lenses. If her LP-FSA funds are insufficient for the expense, her HSA funds will be prioritized next.
How are custom organization updates applied?
Updates made to custom organization settings are applied immediately.
What’s displayed under an organization’s Benefit Stack?
Benefit Plan
A benefit plan is a fully configured offering issued (assigned) to specific organizations from a benefit template. It contains all the finalized rules, parameters, and configurations that determine how the benefit functions for the organization's employees (members).
The Benefit Stack under Organization Settings shows all benefit plans issued to that organization.
When do benefit plans “disappear” from an organization’s Benefit Stack?
Benefit plans will disappear from an organization's Benefit Stack after the last date of available funds. This date could be the end of the plan year, the end of the grace period, or the end of the run-out period.
How do I set the default settings for benefit stacking?
Read "Update the default Benefit Stack settings for the platform" to learn more about updating the Benefit Stack settings for all organizations.
What happens when a new benefit plan is issued to this organization?
When new benefit plans are issued, they will reflect the default Benefit Stack platform settings. If the default order is not preferred, update the organization's Benefit Stack settings after issuing new benefit plans to that organization.
What are some benefit stacking protocols?
Glad you asked. Here are some rules that you should follow.
Prioritize benefits with time-sensitive funds
Stack benefits with funds that will soon be inaccessible for members (e.g., plan year, run-out period, or grace period) at the top. This strategy helps ensure members can use time-sensitive funds and protects funds that can be used later.
Update plan documents
The IRS advises plan sponsors to amend HRA plan documents if General Health FSA or Dental & Vision LP-FSA funds are withdrawn before HRA funds. For this reason, plan sponsors should update plan documents for any benefit stacking changes. Refer to IRS Notice 2002-45, Part V, for more details.
Compliance Note
Communicate benefit-stacking order updates to impacted organizations. As the plan sponsors, they may need to review plan documents.
Preserve HSA funds
Members own their HSA funds -- they cannot be lost due to a plan year expiration or an employment change. For this reason, we consider it a member-first practice to debit HSA funds last.