OBBBA: New Opportunities For Employee Benefits In 2026
- SiekmannCo
- Oct 16
- 3 min read
The recently enacted One Big Beautiful Bill Act (OBBBA) introduces significant updates to employee benefits, enhancing options for health savings, telehealth access, dependent care, educational support, and family savings. Effective primarily in 2026, these changes offer employers and employees fresh opportunities to optimize benefits plans. The Siekmann Company is here to guide you through these updates, ensuring your benefits strategy aligns with your goals. Below, we break down the key provisions and their impact.
Expanded Health Savings Account (HSA) Benefits
The OBBBA enhances HSAs, making them more flexible and accessible, particularly for those using modern healthcare models like direct primary care (DPC) and telehealth services.
Direct Primary Care (DPC) Inclusion
Broader Eligibility: Starting January 1, 2026, individuals enrolled in DPC arrangements, where a flat monthly fee covers routine primary care, can contribute to HSAs if fees are $150 or less for individuals or $300 or less for families.
Qualified Medical Expenses: DPC fees now count as reimbursable medical expenses through HSAs, covering services like office visits and chronic condition management (excluding major procedures or most prescriptions).
ACA Plan Integration: Bronze and Catastrophic plans on the ACA Exchange are now automatically treated as high-deductible health plans (HDHPs), expanding HSA access for individual market participants.
Permanent Telehealth Flexibility
Deductible-Free Telehealth: HDHPs can cover telehealth and remote care services before deductibles are met without affecting HSA eligibility, a provision made permanent for plan years starting after December 31, 2024.
Retroactive Application: Plans can reimburse prior telehealth costs at fair market value, offering immediate flexibility for 2025 plan designs.
These HSA changes support cost-effective healthcare access, potentially reducing employee out-of-pocket costs and enhancing plan appeal.
Strengthened Support For Families & Education
The OBBBA also bolsters benefits that address family and financial priorities, making it easier for employees to manage caregiving and educational expenses.
Dependent Care FSAs: Effective January 1, 2026, annual contribution limits for dependent care flexible spending accounts increase to $7,500 for single filers or married couples filing jointly (up from $5,000) and $3,750 for married individuals filing separately (up from $2,500).
Educational Assistance Extension: The ability to use employer-provided educational assistance for student loan repayments, previously set to expire on December 31, 2025, is now permanent, providing ongoing tax-free support for employees with student debt.
New “Trump Accounts”: Starting in 2026, these tax-advantaged savings accounts for children under 18 allow annual contributions up to $5,000 per child, with employers able to contribute up to $2,500 per account for employees or their dependents.
These updates empower employees to better manage family and financial responsibilities, enhancing workplace satisfaction and retention.
What This Means For Employers
The OBBBA presents opportunities to refine benefits offerings, from cost-efficient HSA-compatible plans to family-friendly savings accounts. Employers can leverage these changes to attract talent, control costs, and ensure compliance. However, updating plan documents, employee communications, and vendor agreements will be critical to fully realize these benefits.
Navigate The OBBB Act With Confidence
With the OBBBA reshaping employee benefits, now is the time to assess your plans and align them with these new opportunities. The Siekmann Company specializes in crafting tailored benefits strategies that meet your organization’s needs and comply with evolving regulations. Visit our website or call 614-873-5200 to start shaping your financial future with confidence. Our team is here to help you navigate these changes seamlessly.
