Last year's change to the longstanding use-it-or-lose-it rulefor flexible spending accounts is driving double-digit enrollmentgrowth.

Benefit and payment firm Alegeus Technologies said that clientswho have actively promoted the FSA rollover allowance to theiremployer groups and eligible employees are seeing 11 percentincremental growth in FSA enrollment and 9 percent growth in FSAelections—compared to a flat overall FSA market growth.

Last fall the U.S. Treasury Department issued new rules that letemployers offer employees the $500 carryover. Previously, unusedemployee FSA contributions were forfeited to the employer at theend of the plan year or grace period, which industry insiders saywere a barrier to adoption.

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