Examples of Flex Credit Shell Plan Configurations

The examples in this topic show different flex credit shell plan configurations and resulting flex credits calculations. All values in these examples are in US dollars (USD)..

Plan-in-Program-Level Pool

The following figure shows a flex shell plan configuration.

This table shows the details of the credit pool, spending option, and excess credit rules.

Flex Plan Components	Details	Credits Provided to Pool	Spending Option Enrollment Cost
Program level credit pool	None	None	None
Medical plan-level credit pool	Spending option: Employee Only option	40	20
Excess credit treatment	Use plan level rules: Rollover maximum 10 to savings plan Disburse maximum: 5 Forfeit remainder	None	None

When participants enroll in the Employee Only option, this configuration calculates the credit balance as follows:

1. Credits provided by plan level pool: 40

2. Cost of Employee Only option: 20

3. Credit balance after deducting 20 from total credits: 20

The excess credit treatment rule treats the balance of 20 credits as follows:

1. Credits disbursed to savings plan: 10

   Balance: 10

2. Credits disbursed as cash: 5

   Balance: 5

3. Credits forfeited: Remainder of 5

   Balance: 0

Program-Level Pool and Plan-in-Program-Level Pool Configured to Allow Overspending

The following figure shows the flex shell plan configuration.

This table shows the details of the credit pools, spending options, and excess credit rules.

Components	Details	Credits Provided to Pool	Spending Option Enrollment Cost
Program credit pool	Spending option: Commuter plan	60	10
Medical plan-level pool	Spending option: Medical plan Allows overspending up to 50%	10	15
Excess credit treatment	Program level rules: Disburse maximum 10 Rollover maximum 10 to savings plan Forfeit remainder	None	None

When a participant enrolls in the medical plan Employee Only option and the commuter plan, this configuration calculates the credit balance on enrollment as follows:

Program Pool	Plan Pool
Sequence of calculations: Credits in program level pool: 60 Cost of Commuter plan: 10 Credit balance after deducting 10 from total credits: 50	Sequence of calculations: Credits in plan level pool: 10 Cost of Employee Only option: 15 Overspending: up to 50%. The participant can spend up to 15 Credit balance after deducting 15 from total credits: 0

The excess credit treatment rule treats the program pool's credit balance of 50 as follows:

1. Credits disbursed as cash: 10

   Balance: 40

2. Credits transferred to savings plan: 10

   Balance: 30

3. Credits forfeited: Remainder of 30

   Balance: 0

Plan-in-Program-Level Pool and Option-in-Plan-in-Program-Level Pool Configured to Add to Program-Level Pool

The following figure shows the flex shell plan configuration.

This table shows the details of the credit pools, spending options, and excess credit rules.

Flex Plan Component	Details	Credits Provided to Pool	Spending Option Enrollment Cost
Program Credit pool	Spending options: Commuter plan Employee Plus Spouse option	5	Commuter Plan: 10 Employee Plus Spouse: 20
Plan-level pool adds to program-level pool	No spending options at this level. This level only provides credits.	20	None
Option-level pool adds to program-level pool	No spending options at this level. This level only provides credits.	30	None
Excess credit treatment	Use program level rules: Rollover maximum 10 to savings plan Disburse maximum 5 Forfeit remainder	None	None

When a participant enrolls in the medical plan Employee Plus Spouse option and the commuter plan, this configuration calculates the credit balance at enrollment as follows:

1. Credits provided by the option level pool and added to the program pool: 30

2. Credits provided by the plan level pool and added to the program pool: 20

3. Credits provided by the program pool: 5

4. Total credits at the program pool: 55

5. Enrollment cost of Commuter plan and Employee-Plus-Spouse option: 30

6. Resulting credit balance after deducting enrollment cost from total credits: 25

The excess credit treatment rule treats the credit balance of 25 as follows:

1. Credits transferred to savings plan: 10

   Balance: 15

2. Credits disbursed as cash: 5

   Balance: 10

3. Credits forfeited: Remainder of 10

   Balance: 0