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An employee elects a $500 annual deferment in his Section 125 Flexible Benefits Plan. His employer pays an FSA claim for $500 in March. In April, the employee terminates his employment after deferring only $290 to his plan. What happens in this situation?

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An employee elects a $500 annual deferment in his Section 125 Flexible Benefits Plan. His employer pays an FSA claim for $500 in March. In April, the employee terminates his employment after deferring only $290 to his plan. What happens in this situation?






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