This article addresses whether an employer can contribute to an employee's Health Savings Account (HSA) after the employee has been terminated.

Questions(s):

Can I contribute to my employee's HSA if they are terminated?

Answer:

Yes, in most cases, employers can contribute to an employee's HSA even after the employee is terminated, though certain situations may require extra steps.

In most circumstances, employers are allowed to contribute to an employee's Health Savings Account (HSA) even after the employee is terminated. This situation can arise due to various reasons, such as termination midway through payroll or administrative errors. Lively support this scenario, allowing for contributions to be made to a terminated employee’s HSA.

However, depending on the contribution method being used, employers may need to take an additional step to facilitate the contribution after termination. If you run in to any trouble, reach out to your CSM (Customer Success Manager) or the CSA team for assistance completing your contribution.