IRS Clarification on HSA Provisions in OBBBA

The massive budget reconciliation bill known as the One Big Beautiful Bill Act (OBBBA) was signed into law by President Trump on July 4, 2025, which included changes for health savings accounts (HSAs), dependent care assistance programs (DCAPs), student loan payments under educational assistance programs, and qualified transportation plans. The IRS recently issued Notice 2026-5 to clarify several HSA-related elements, particularly those involving telehealth, direct primary care arrangements, and Marketplace plan eligibility. Read more

Top 7 Benefits Trends to Watch Out For in 2026

Summary

Employee benefits in 2026 focus on support that meets real-life needs. Paid leave and caregiver support remain critical as more workers juggle health and family responsibilities. AI is stepping in to help personalize benefits, while mental health, retirement readiness, and financial wellness continue to be must-haves. Hybrid work is here to stay, but clarity is essential. The key takeaway is this: build on what already works, ask employees what they actually need, and continually evolve your benefits instead of letting them become stale.

 


 

The landscape of employee benefits is shaped by shifts in workforce demographics, technical advancements, and evolving priorities, all of which have evolved over the last year. To remain competitive in employee hiring and retention, companies must stay current with shifting trends.  

Here’s a look at the key trends defining employee benefits in 2026. Read more

Three Things to Measurably Improve Your Team’s Productivity in 2026 

Summary 

Burnout is affecting employers significantly, but 2026 planning provides an opportunity to reset your team’s approach. Start by giving people more control over their workday, helping them spot burnout early, and building benefits that support their daily lives. When employees feel supported and equipped, your organization gains stability, commitment, and a culture that can weather what comes next. 

 



 

It’s no secret that burnout is a bulldozer of productivity and employee retention. Earlier this year, Forbes reported that burnout was at 66%, with employees lacking focus, energy, and struggling with mental health. All of that is then left to employers to pick up the pieces. But that doesn’t mean things are hopeless. In fact, employers can use this as a perfect opportunity for growth.  

As you plan for 2026, reevaluate your base assumptions about how your team operates. Is there rigidity where there could be flexibility?  How can you add ease and a wellness-centered work environment to your company culture?   Read more

The Cost of Silence: Why Long-Term Care Belongs in Workplace Conversations 

Summary 

Employees are quietly managing caregiving and costs every day. Starting the conversation helps them prepare and helps employers build a healthier, more resilient culture. 


 

Topics like health insurance, mental health, financial wellness, and work-life balance are common workplace conversation starters. But when it comes to caregiving or long-term care (LTC), the conversation usually stops. In fact , 92% of people know that talking to their loved ones about long-term care is important, but only 32% have actually done it.  

Any silence on this issue creates emotional strain, financial pressure, and ripple effects across the entire organization. Read more

2025-2026 PCORI Fee Released

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The Patient-Centered Outcomes Research Institute (PCORI) fee established by the Affordable Care Act helps fund research to evaluate and compare health outcomes, clinical effectiveness, risks, and benefits of medical treatment and services.

The fee, which is adjusted annually, is currently in place through 2029. In Internal Revenue Bulletin 2025-45, the IRS announced that the PCORI fee for plan years ending between October 1, 2025, and September 30, 2026, is $3.84. As has been the case in previous years, this new fee is an increase from the $3.47 payment for policy or plan years that ended between October 1, 2024, and September 30, 2025.  

Employers and plan sponsors with self-funded plans are typically responsible for submitting IRS Form 720 and paying the PCORI fee by July 31 of the calendar year immediately following the last day of the plan year, meaning that payments for plan years that end in 2025 will be due in July of 2026. PCORI fees for self-funded plans are assessed on all covered lives, not just on employees. Plan sponsors can use one of three methods to calculate the average number of covered lives for the fee: the actual count method, the snapshot method, and the Form 5500 method.  

Many fully insured employers do not need to take any action, as the insurer will submit the payment on their behalf. However, remember that fully insured employers with self-funded HRAs must pay the fee for each employee covered under the account. 

 

2025 PCORI Filing Fee Calendar 

Plan or Policy Year 

PCORI Filing Fee 

February 2024 – January 2025 

$3.47 

March 2024 – February 2025 

$3.47 

April 2024 – March 2025 

$3.47 

May 2024 – April 2025 

$3.47 

June 2024 – May 2025 

$3.47 

July 2024 – June 2025 

$3.47 

August 2024 – July 2025 

$3.47 

September 2024 – August 2025 

$3.47 

October 2024 – September 2025 

$3.47 

November 2024 – October 2025 

$3.84 

December 2024 – November 2025 

$3.84 

January 2025 – December 2025 

$3.84 

  Read more

Compliance Corner Session:  Top Tips for 2026

 

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Geometric Image + Icon (5)Join Marissa Rufo, JD, MBA, Lumelight, for the latest Compliance Corner! 

When: Tuesday, November 18, 2025, 11:00 AM Pacific / 2:00 PM Eastern

Where: Zoom | Register here

 


 

Top Tips for 2026

As the year draws to a close, it is time to plan for next year’s compliance. This session offers a comprehensive overview of what to expect in 2026. This presentation will offer compliance updates, legislative trends, and actionable strategies to keep your benefit plans competitive and out of trouble. Whether you are unsure how to navigate regulatory changes or seek some functional guidance, this webinar will provide the insights you need. Be ready to take notes on this compliance wrap-up for 2025!

Who is Lumelight? 

Lumelight is a boutique ACA and benefits compliance consultancy helping people navigate the complex world of employee benefits compliance through deep expertise and superb client service.

Want to attend?

Save your seat by clicking here

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Managers Are Running Hot. Here’s How to Fix the Job and Lift Engagement

Summary 

Manager engagement has dropped, and it’s dragging the rest of the team down with it. If you want better performance, avoid adding pressure and rethink the job itself. 

 


 
Managers are struggling, and it’s showing up across the business.  

The numbers paint a clear picture. Gallup reports that just 31% of managers feel engaged in their work, which is down from a high of 36% in 2020.  

If you’re seeing delayed decisions, stalled projects, or rising turnover, you might be one of the many organizations seeing the effects of this trend.  Read more

Make Meetings Useful: Design Them Around How Your Team Actually Works 

Summary

Most teams don’t need more meetings—they need better ones.  Meetings that lack structure, clarity, and respect for focus time drain energy and hurt engagement. Protect time, define purpose, and run meetings that move work forward instead of slowing it down.

 


 

Chances are, if you’ve been in the workforce longer than five minutes, you’ve heard someone complain about meetings.  

Today’s reality is that work increasingly tilts toward chat, email, and meetings, while time for real, focused work continues to shrink. From Microsoft’s 2024 Work Trend Index 

  • People spend 60% of their time communicating and 40% creating, with meetings and after-hours work stuck at post-pandemic highs. 
  • 68% say the pace and volume of work is hard to keep up with. 
  • 46% report burnout. 

That should shape how you run meetings and how you protect focus time around them.  Read more

2026 Health FSA Inflation Adjustments

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The Internal Revenue Service issued Revenue Procedure 2025-32 on October 9, which establishes various 2026 tax-related limits that have been adjusted for inflation. The table below identifies updates to the 2026 health and fringe benefit plans addressed in this notice. The health flexible spending account (health FSA) employee contribution limit, carryover limit, and maximum qualified small employer health reimbursement arrangement (QSEHRA) employer contribution are annual amounts that apply once a plan starts/renews in 2026.1 The adoption assistance program limit is an annual maximum that applies for the 2026 calendar year, while the transportation benefit is a monthly threshold that also applies for the 2026 calendar year. 

 

Benefit 

2025 

2026 

Maximum Employee Contribution to a Health FSA 

$3,300 

$3,400 

Health FSA Carryover Limit 

$660 

$680 

Adoption Assistance Program 

$17,280 

$17,670 

Maximum Annual Employer Contribution to a QSEHRA 

$6,350 (self-only coverage) 

$12,800 (family coverage) 

$6,450 (self-only coverage) 

$13,100 (family coverage) 

Maximum Monthly Benefit for Qualified Transit Passes, Van Pool Services, and Qualified Parking 

$325 

$340 

  Read more

Open Enrollment Isn’t Over When It Ends: What Employers Should Do Next  

Summary 

Read more