As part of the implementation process with Forma, a Deposit Account is created to hold the funds used to reimburse employees and process card transactions related to the benefits you offer. This account is essential for supporting both employer-sponsored benefits (via direct deposit reimbursements) and pre-tax benefits (covering claim reimbursements and card purchases).
Pre-Funding the Deposit Account
Before your program launches, the Deposit Account must be pre-funded to ensure that funds are available as employees start using their benefits.
How Deposit Account Top-Ups Work
To maintain the balance of your Deposit Account, Forma initiates weekly top-ups. These top-ups automatically replenish the account back to its designated threshold—the original pre-fund amount—after funds are used for:
- Pre-tax claim reimbursements
- Pre-tax card transactions
- Employer-sponsored claim reimbursements
Weekly Notification Process:
- Customer admins (designated during setup) will receive a weekly email every Monday, outlining the upcoming top-up scheduled for Tuesday.
- If Monday is a holiday, the email will be sent on Tuesday, and the top-up will take place on Wednesday.
- If your organization offers both pre-tax and employer-sponsored benefits, the email will detail top-up amounts for each. These will appear as two separate funding transactions.
Managing HSA Contributions & Top-Ups
If you offer HSAs through Forma, additional top-ups will occur as contribution files are processed. These contributions may include both employee and employer deposits.
Key details:
- HSA top-ups happen immediately after the contributions file is processed, regardless of the 'funding date'.
- Currently, Forma does not send automated emails specifically for HSA contribution top-ups—this functionality is planned as a future enhancement.
Updating Notification Recipients
Need to change who receives the weekly top-up notifications? Simply reach out to your Customer Success Manager or contact Forma Support at support@joinforma.com, and they’ll assist you in updating the recipient list.