Compliance Calendar
Most of the One Big Beautiful Bill Act has nothing to do with employee benefits. The handful of provisions that do are useful, and several take effect for the 2026 plan year, which means amendments and communications are due.
Key takeaways
- The telehealth safe harbor for high-deductible health plans is now permanent, and direct primary care fees can be paid from an HSA from 2026.
- The dependent care FSA limit rises to $7,500, and employers can contribute up to $2,500 per employee to a new “Trump account” for a child.
- Bronze and catastrophic marketplace plans are now treated as HSA-compatible high-deductible plans, and the student loan repayment benefit is permanent.
- Each of these is optional for the employer, but each needs a plan document change before you can use it.
High-deductible plans and HSAs
Telehealth. A temporary pandemic-era rule let high-deductible health plans cover telehealth before the deductible without costing the employee HSA eligibility. The 2025 law made that permanent for plan years beginning after December 31, 2024. If your plan uses it, confirm the plan language says so.
Direct primary care. Starting in 2026, a person with an HSA can pay a direct primary care membership fee from the HSA without losing eligibility, up to $150 a month for an individual and $300 for a family, indexed after 2026. The fee has to be the only compensation to the practice, the fees do not count toward the deductible, and employer-paid DPC run through a cafeteria plan cannot be reimbursed from the HSA. See our direct primary care page for how it fits an employer plan.
Marketplace plans. Bronze and catastrophic plans bought on a marketplace are treated as high-deductible plans for HSA purposes starting in 2026. That matters for ICHRA employers whose employees buy individual coverage.
Dependent care and student loans
The dependent care FSA annual limit rose from $5,000 to $7,500 for tax years beginning in 2026 ($3,750 for married people filing separately). It is not indexed. Higher limits make the nondiscrimination test matter more, so ask your administrator to run it.
The employer student loan repayment benefit under Section 127 is now permanent, with the $5,250 annual limit indexed to inflation after 2026. It can run alongside tuition assistance and is one of the few tax-free recruiting tools that can be built quickly.
“Trump accounts” for employees’ children
The law created a new tax-advantaged account for children under 18. An employer can contribute up to $2,500 a year per employee (not per child) tax-free to the employee, if it adopts a written plan that meets nondiscrimination rules similar to those for dependent care assistance. Employer contributions are still subject to payroll taxes. Treasury and the IRS have issued proposed regulations, so details are still moving. Treat it as an option to watch rather than something to launch this month.
What to do
- Ask your HSA custodian and benefits administrator whether the DPC and telehealth changes are reflected in your plan documents
- Decide whether to raise your dependent care FSA limit and confirm the nondiscrimination testing
- If you offer tuition assistance, evaluate adding student loan repayment
- Update open enrollment communication so employees know what is new, and what is not available to them
Questions we get
Do these changes apply automatically?
The law applies automatically, but employer plans need to be amended and administered to use the options. Ask your administrator what has already been done for 2026.
Can an employee use their HSA for any doctor visit?
No. Only a direct primary care arrangement that meets the law’s definition qualifies, and the monthly limit applies. Other physician visits are subject to the ordinary rules.
Is a Trump account part of our benefits plan?
It is a separate tax-advantaged account for a child. An employer may contribute under a written program, but it is not a health or welfare plan. Check the details with your tax advisor.
Sources: Pub. L. 119-21 (July 4, 2025); IRS Notice 2026-5 on HSA provisions; IRS proposed regulations REG-101355-26 (August 2026); summaries from national law firms. Confirm details with your tax adviser before adopting a plan change.
Related Reading
Want these changes checked against your plan documents? Send us your renewal with your plan documents and we will flag what needs amending for 2026 and 2027.
