How To Fix HRBENUSPAYROLL017 - Enrollment not allowed in plan & due to carryover to HSA-compatible FSA

SAP Error Message - Details

• Message type: E = Error

• Message class: HRBENUSPAYROLL - Error messages for US Benefits-Payroll

• Message number: 017

• Message text: Enrollment not allowed in plan & due to carryover to HSA-compatible FSA

What causes this issue?

The system does not allow you to enroll in a general purpose health
Flexible Spending Account (health FSA) because you have elected to have
unused amounts from the general purpose health FSA carried over to the
HSA-compatible FSA.

System Response

The system issues an error message and will not allow you to continue with this transaction until the error is resolved.

How to fix this error?

Enroll in an HSA-compatible FSA plan to which you want to have unused
amounts carried over from the general purpose health FSA. Alternatively,
contact your system administrator.

Procedure for System Administrators

If required, you can adjust your implementation in the
<DS:SIMG.HRBEN_B_HEALTH_FSA_CAROV_HSA>BAdI: Carryover to HSA-Compatible
Health FSA</>.

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message HRBENUSPAYROLL017 - Enrollment not allowed in plan & due to carryover to HSA-compatible FSA ?

  The SAP error message HRBENUSPAYROLL017 indicates that there is an issue with an employee's enrollment in a benefits plan, specifically related to a Health Savings Account (HSA) and a Flexible Spending Account (FSA). This error typically arises when an employee is trying to enroll in a plan that is not compatible with their current FSA status, particularly if they have a carryover amount from a previous plan year.
  Cause:
  
  HSA-Compatible FSA Restrictions: The IRS has specific rules regarding the compatibility of FSAs and HSAs. If an employee has a carryover from a previous FSA, they may not be eligible to contribute to an HSA for the current plan year.
  Enrollment Timing: The error may also occur if the enrollment period for the FSA has closed or if the employee is trying to enroll outside of the designated enrollment window.
  Plan Configuration: The configuration of the benefits plans in SAP may not allow for the enrollment due to the current status of the employee's benefits.
  
  Solution:
  
  Review Employee's Benefits Status: Check the employee's current benefits enrollment and any carryover amounts from the previous FSA. Ensure that they are eligible for the HSA-compatible FSA.
  Adjust Enrollment: If the employee is not eligible for the HSA due to the carryover, they may need to adjust their FSA enrollment or forgo the HSA for the current year.
  Consult with HR/Benefits Administrator: Work with your HR or benefits administrator to clarify the employee's options and ensure that the plans are set up correctly in the system.
  System Configuration: If the issue persists, it may be necessary to review the configuration of the benefits plans in SAP to ensure they align with IRS regulations and company policies.
  
  Related Information:
  
  IRS Guidelines: Familiarize yourself with IRS guidelines regarding HSAs and FSAs, particularly the rules about carryover amounts and eligibility.
  SAP Documentation: Refer to SAP documentation for specific details on error messages and troubleshooting steps related to benefits enrollment.
  Employee Communication: Ensure that employees are informed about the implications of carryover amounts on their eligibility for HSAs and FSAs during open enrollment periods.
  
  By addressing these areas, you should be able to resolve the error and ensure that the employee's benefits enrollment is processed correctly.