The recently passed One Big Beautiful Bill includes changes designed to expand flexibility and affordability in employee benefits. Here’s a quick breakdown of what’s new—and what actions you can take now to stay ahead:
Expanded HSA Eligibility = More Flexibility
- Direct Primary Care (DPC) arrangements are now compatible with HSAs.
- Up to $150/month (individual) or $300/month (family) in DPC fees are HSA-eligible.
- Bronze & Catastrophic ACA plans now qualify as HDHPs—more plan design options for cost-conscious employers.
✅ Action: Review your plan offerings—this opens doors to more affordable, HSA-compatible options.
Telehealth Coverage Made Permanent
- HDHPs can now cover telehealth pre-deductible without jeopardizing HSA eligibility.
✅ Action: Promote this to boost utilization and reduce in-person care costs.
Dependent Care FSA – Higher Limits
- New annual cap: $7,500 (individual) / $3,750 (married filing separately).
- Helps employees manage rising childcare costs.
✅ Action: Update your FSA communications and payroll systems for 2026.
Student Loan Repayment – Extended Tax Benefit
- Employer contributions remain tax-free beyond 2025.
- Indexed for inflation = long-term retention tool for younger talent.
✅ Action: Consider adding or expanding this benefit to attract Gen Z and Millennial workers.
New “Trump Account” for Children
- Employers can contribute up to $2,500/year to a tax-advantaged account for employees’ children.
✅ Action: Monitor IRS guidance—this could become a differentiator in family-friendly benefits.
If you’d like help reviewing your current offerings or planning for 2026, we’re here to guide you through the changes.
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