HSA fund transfers from BenefitWallet to ConnectYourCare FAQ – Justworks Help Center

If you are looking for more information about HSA/FSA renewals 2020 with ConnectYourCare, please reference this article for more information.

What is the timeline for the HSA funds transfer from BenefitWallet to ConnectYourCare?

Between December 1, 2020 through January 15, 2021, employees will need to review the consent modal and select an option. In order for Justworks to initiate a transfer of HSA funds, the employee must consent by January 15, 2021 11:59PM EST.
Employees enrolled in BenefitWallet HSAs must ensure their account is open by January 22, 2021 for us to include these accounts in the transfer process.
Employees must also ensure their ConnectYourCare account is open no later than January 31, 2021 for us to complete the transfer process.*
Employees should expect to receive their debit cards within 10 business days of successfully opening their ConnectYourCare HSA.
On February 1, Justworks will initiate the transfer process for all HSAs that will have funds moved from BenefitWallet to ConnectYourCare.
On February 17, BenefitWallet HSAs will be closed and funds will no longer be available to access.
Between February 17-26, BenefitWallet HSA investment funds will be liquidated and moved to cash for members that consented to have HSA funds transferred to ConnectYourCare.
By March 10, employees can access their HSA funds that were transferred from BenefitWallet through ConnectYourCare.

*Employees with an open BenefitWallet HSA will automatically be enrolled in a ConnectYourCare HSA on January 1, 2021 in order to continue accessing their HSA benefit. Employees will need to ensure their ConnectYourCare HSA account is open in order to access any 2021 contributions.

What is required of employees to have HSA funds transferred from BenefitWallet to ConnectYourCare?

For Justworks to initiate a transfer for an employee’s BenefitWallet HSA funds to ConnectYourCare, employees must complete the following steps:

Employees must log into their Justworks account between December 1, 2020 and January 15, 2021 and select the option to consent to transfer. No exceptions can be made to transfer funds after January 15, 2021. The option will be disabled at 11:59PM EST. Employees who miss the deadline will be responsible for the transferring of their funds on their own and any associated fees.
Employees must ensure their BenefitWallet HSA is open by January 22, 2021. If it is unopened due to pending status of the Customer Identification Program (CIP) used to verify the identity of the employee or if the account has been closed for any reason, Justworks cannot initiate a transfer of the funds.
Employees must also ensure their ConnectYourCare HSA is open to receive transferred funds after we automatically enroll employees on January 1, 2021. ConnectYourCare accounts must be opened by January 31, 2021 to ensure we can initiate a transfer of the funds.

How do I transfer my HSA funds from BenefitWallet to ConnectYourCare?

Employees with an open BenefitWallet HSA will automatically be enrolled in a ConnectYourCare HSA. However, we require the employee’s consent to transfer the funds on their behalf.

Employees must log into their Justworks account between December 1, 2020 and January 15, 2021 and select the option to consent (or decline) to transfer. No exceptions can be made to transfer funds after January 15, 2021. The option will be disabled at 11:59PM EST. Employees who miss the deadline will be responsible for the transferring of their funds and any associated fees.

Important!

Please note that only open BenefitWallet HSAs will be eligible for automatic enrollment into a ConnectYourCare HSA and fund transfers thereafter. If a BenefitWallet account is not yet opened, this will need to be resolved first. For assistance with finalizing account setup with BenefitWallet, employees can contact BenefitWallet directly at 877-472-4200.
ConnectYourCare HSAs will also need to be open for funds to be transferred successfully. For assistance with finalizing account setup with ConnectYourCare, employees can contact ConnectYourCare directly at 844-881-0242 or chat with their support team after logging into their myCYC account.

What happens if an employee declines the transfer, or does not complete the consent step?

Employees with an open BenefitWallet HSA will automatically be enrolled in a ConnectYourCare HSA. If an employee declines the transfer or does not complete the consent by the deadline, the funds will remain in the BenefitWallet HSA.

These BenefitWallet HSAs will become independent accounts, effective January 1, 2021. This means administrative fees are no longer paid for by Justworks and will be deducted from employee account balances.

The ConnectYourCare HSA will be available to the employee, if they choose to utilize it for future HSA contributions. Employees may transfer their BenefitWallet HSA funds to their ConnectYourCare HSA in the future. Please note the employee will be responsible for the transferring of their funds and any associated fees if the transfer takes place outside of this transfer completed by Justworks.

Can an employee open an HSA with ConnectYourCare after they miss the consent or transfer deadline? Can an employee transfer the funds from their BenefitWaller HSA?

Can employees keep their HSA on BenefitWallet even after Justworks switches providers?

Yes, as long as the employee declines the consent to transfer their HSA funds, their funds will remain in their BenefitWallet HSA. These BenefitWallet HSAs will become independent accounts, effective January 1, 2021. This means administrative fees are deducted from the account balance and are no longer paid for by Justworks.

What should an employee expect to happen if they consent to the transfer?

After an employee consents to the transfer, the confirmation will be saved under Documents within Justworks for their records.

Employees will need to make sure their ConnectYourCare HSA is open by January 31, 2021. HSA funds cannot be transferred if their ConnectYourCare HSA is not open. Once opened, employees will receive a debit card within 10 business days (if they do not have one already for a different ConnectYourCare benefit, such as commuter benefits).

On February 17, 2021, BenefitWallet HSAs will be closed and funds will no longer be available to access. Between February 17-26, BenefitWallet HSA investment funds will be liquidated and moved to cash for members that consented to have HSA funds transferred to ConnectYourCare. If employees prefer to liquidate investment funds and move to cash on an earlier date, we recommend completing this no later than February 10, 2021.

Please review the timeline at the top of this article for more details.

What happens if an employee's BenefitWallet HSA is not open yet? Will the account get transferred at a later date, if they open it?

Only BenefitWallet HSAs that are opened by January 22, 2021 will be eligible for automatic enrollment into a ConnectYourCare HSA. If an account is not yet opened, this will need to be resolved first. For assistance with finalizing account setup with BenefitWallet, employees can contact BenefitWallet directly at 877-472-4200.

In addition to ensuring the BenefitWallet HSA is open, employees must also complete the consent by January 15, 2021. Employees who miss the deadline will be responsible for the transferring of their funds on their own and any associated fees.

BenefitWallet HSAs that remain unopened on January 22, 2021 will be closed and will result in the employee’s forfeiture of pre-tax dollars and employer contributions and we will be forced to return pre-tax contributions to the employee with taxes applied. Applicable taxes will be debited from the employer for the funds returned to employees. Any employer contributions for these employees will be returned to the employer.

What happens if the employee's ConnectYourCare HSA is not open by the deadline?

If an employee had an open BenefitWallet HSA and consented to having their HSA funds moved to ConnectYourCare, but their ConnectYourCare HSA was not open (for example, due to pending status of the Customer Identification Program (CIP) to verify the identity of the employee) by January 31, 2021, the BenefitWallet HSA funds would not be transferred. These funds would remain in their BenefitWallet HSA. Employees will be responsible for the transferring of their funds and any associated fees, if they successfully open your ConnectYourCare HSA at a later date and would like to transfer the funds.

Why would an employee receive enrollment information for a ConnectYourCare HSA even though the employee didn’t enroll or consent to transfer funds?

If an employee has an open BenefitWallet HSA, Justworks will automatically enroll them in a ConnectYourCare HSA as part of the provider transition. Any HSA contributions after January 1, 2021 will be deposited to the ConnectYourCare HSA. If the ConnectYourCare HSA is not open (for example, due to pending status of the Customer Identification Program (CIP) to verify their identity, employees will need to resolve this first in order to access their funds. For assistance with finalizing account setup with ConnectYourCare, employees can contact ConnectYourCare directly at 844-881-0242 or chat with their support team after logging into their myCYC account.

Does ConnectYourCare provide investment options for HSAs? What are my investment options for ConnectYourCare HSAs? When and how do I choose them?

Yes! Once a member has a balance of at least $1,000 they have the option to invest their balance over $1000 in mutual funds through ConnectYourCare.

Employees with a balance over $1,000 will have the option to invest in a set of mutual funds provided through ConnectYourCare. Funds that are not invested in mutual funds will be held in an interest bearing account.

The mutual funds that are available through the ConnectYourCare HSA account can be found here. You can find more information on ConnectYourCare’s HSA investment FAQ page.

Will HSA investments from BenefitWallet be transferred to ConnectYourCare?

No. Any BenefitWallet HSA investments will be liquidated and moved to cash on February 17, 2021 in order for Justworks to transfer the HSA funds to ConnectYourCare. Employees may liquidate investment funds and move to cash on any date prior to February 17, 2021 if they prefer. Members will need to choose investment options in ConnectYourCare once their funds have been transferred. Transferred funds will remain in the interest bearing account until an investment option is selected. Fund transfers will be completed by March 10, 2021.

What are the steps to follow for an employee to transfer HSA funds from BenefitWallet to ConnectYourCare if they were excluded from the transfer?

Employees may initiate their own transfer using the rollover form. Employees will be responsible for any associated fees, which are generally deducted from the HSA balance. The full transfer process can take up to 30 business days to complete.

Both BenefitWallet and ConnectYourCare can assist the employee through the process. Employees can contact BenefitWallet directly at 877-472-4200 or contact ConnectYourCare directly at 844-881-0242.

When is the last day employees can actively use their BenefitWallet HSA, such as submit claims, use their HSA debit card, or transact investments?

On February 1, Justworks will initiate the transfer process for all HSAs that will have funds moved from BenefitWallet to ConnectYourCare. We recommend February 10 as the last day for employees to:

Submit HSA claims
Use their HSA debit card
Transact investments
Liquidate investments

This allows for a 7 day window for all transactions to clear before February 17, when BenefitWallet HSAs will be closed and funds will no longer be available to access. Employees can access their ConnectYourCare HSA by March 10 and can proceed to actively use their HSA. As a reminder, there is no time limit to submit HSA claims. Claims can be submitted at any time, even months or years after they occurred.

If an employee currently has a BenefitWallet HSA with funds remaining, but decides to enroll in a FSA for the 2021 plan year, will the existing HSA funds be part of the transfer to ConnectYourCare?

Employees cannot actively contribute to a healthcare FSA and HSA at the same time. Therefore, if an employee has a BenefitWallet HSA during 2020, but decides to enroll in a ConnectYourCare healthcare FSA effective January 1, 2021, a termination date of December 31, 2020 will be applied to the BenefitWallet HSA under the Justworks plan. The BenefitWallet HSA and it’s remaining balance will continue to be accessible and active for the employee, but it will become an independent account, effective January 1, 2021. This means administrative fees are deducted from the account balance and are no longer paid for by Justworks.

Due to the termination of the BenefitWallet HSA under the Justworks plan, the HSA funds will not be eligible for transfer to ConnectYourCare. The employee will have a ConnectYourCare healthcare FSA effective January 1, 2021. Therefore Justworks will not be able to automatically enroll the employee in a ConnectYourCare HSA as we are doing for employees with a continued HSA benefit in 2021.

Employees will be responsible for the transferring of the funds and any associated administrative fees in maintaining the individual HSA Express account with ConnectYourCare. Employees can decide whether to keep their HSA balance in their independent BenefitWallet account, or to create an independent ConnectYourCare account and transfer the balance over.

If the employee chooses to open a ConnectYourCare HSA to transfer the HSA funds from BenefitWallet to ConnectYourCare, the employee would need to open an “individual HSA Express account,” which would not be part of the Justworks plan. Additionally, the ConnectYourCare account for the individual HSA Express account will be an entirely separate account (with different login credentials and debit card) from the ConnectYourCare account for benefits the employee actively accesses through Justworks (e.g. commuter, FSA).