The IRS issued Revenue Procedure 2017-58, which includes increased limits for health flexible spending accounts and transportation fringe benefits for 2018, as reflected in the chart below:

For additional 2018 welfare plan limits, please refer to our alert, Important Limits Increase for 2018 Health Plans, posted on our website on June 14, 2017.

If you have any questions about these or other limits or about the impact on your plan, contact your Cheiron consultant.

Cheiron is an actuarial consulting firm that provides actuarial and consulting advice. However, we are neither attorneys nor accountants. Accordingly, we do not provide legal services or tax advice.

^[1] This limit applies to salary reduction contributions to the health FSA. Non-elective employer contributions to the health FSA, such as a flat dollar contribution, employer match, or flex credits, will count against this limit only if the employee can elect to receive the employer contribution in cash or as a taxable benefit.

^[2] These qualified transportation fringe benefits are excluded from an employee's gross income for income tax purposes and from an employee's wages for payroll tax purposes. See Code §132(f).