FSAFEDS: Heroes Earnings Assistance and Relief Tax Act
(HEART Act)
December 24, 2008
Effective January 1, 2009, certain reservists who are enrolled in a health-care flexible spending account (FSA) will have an opportunity to apply for a taxable refund of their unused health-care FSA account balance. This is also known as qualified reservist distribution (QRD).
To be eligible for this refund, you must meet all of the following criteria:
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- Be enrolled in an FSAFEDS health-care flexible spending account,
- Be a member of the Army National Guard, Air National Guard, Army Reserve, Navy Reserve, Marine Corps Reserve, Air Force Reserve, Coast Guard Reserve or Reserve Corps of the Public Health Service, and
- Called to active duty for a period of 180 days or more, or for an indefinite period of time.
Listed below are further facts about the QRD refund:
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- A QRD refunds the balance of FSAFEDS allotments in the requestor’s health-care FSA as of the date of the request.
- The return of funds is taxable income in the year in which it is received.
- Receipt of a QRD closes the FSAFEDS health-care account for that benefit period.
- When a QRD is received no additional claims can be made against your health-care FSA for that benefit period.
Time Limit to Request a QRD:
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- A valid QRD can be requested during the period beginning with the date of the order or call to active duty and ending on the last day of the grace period for the FSAFEDS benefit period during which the order or call to active duty occurs.
- QRD requests will not be accepted before January 1, 2009, although the order or call to active duty can date back to June 18, 2008 (and possibly, before if the period of active duty continues after June 18, 2008).
How to Request a QRD:
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- Call FSAFEDS toll free at 1-877-372-3337 Monday through Friday from 9 a.m. to 9 p.m., EST, during the time period permitted for the request.
- Submit a copy of your orders or call to active duty to FSAFEDS.
Further detailed information and FAQs about QRDs will soon be available on the FSA Web site at www.fsafeds. com.
TRICARE’s website has some terrific information available to participants on it. One question that seems to come up time and again for spouses is whether or not marital counseling is covered.
Family therapy is covered (just not under the title “marriage counseling”). However, marital counseling appears to be in a slightly different category (behavioral health). TRICARE explains that marital counseling is only covered at such time that it is medically necessary to treat another diagnosis—one that is a behavioral health condition (conditions covered in the DSM IV). There are costs to consider which are associated with this type of care as well. The breakdown from the official TRICARE website is as follows:
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Psychotherapy (Outpatient Mental Health)
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TRICARE
Prime
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TRICARE
Extra
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TRICARE
Standard
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ADFM
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None
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15%
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20% *
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Retirees and Others
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Individual/Family Therapy $25
Group Therapy $17
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20%
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25% *
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· TRICARE Standard beneficiaries may be required to pay up to 15% above the TRICARE allowed amount when using a provider that does not participate in TRICARE.
Individuals who do receive authorization for marriage counseling will likely be treated by a Licensed Marriage and Family Therapist (LMFT). TRICARE explains that these care providers hold at least a Masters in counseling. LMFT’s do not prescribe medication as they are not doctors. Individuals requiring mediation for a behavioral health condition might be treated by a psychiatrist (and in some cases a Certified Psychiatric Nurse Specialist who can manage medications).
Also, TRICARE announced last December that, “Behavioral Health Provider Locator and Appointment Assistance Service is a dedicated toll-free telephone line at 1-877-747-9579.” However, it is important to note that, “[r]eferrals and prior authorizations may be required for behavioral health care depending on what type of TRICARE health care plan option you have. If you are seeing more than one provider, it is essential to keep all parties informed so that all are aware of any medications and treatment you may be receiving.” Be sure to check on your plan before contacting a provider to save yourself from hassles.
For more information on Behavioral Health Care, visit the TRICARE website: http://www.tricare.mil/.
Additionally, please read: http://www.humana-military.com/south/provider/tools-resources/Bulletins-Newsletters/I5-09/marriage-counseling-and-family-therapy.asp