Benefit provisions in the budget reconciliation bill signed into law
President Trump signed a major budget reconciliation bill on July 4, 2025, introducing several benefit-related changes, including permanent HSA compatibility with first-dollar telehealth, new allowances for direct primary care starting in 2026, and higher limits or expanded eligibility for programs like Dependent Care FSAs, adoption assistance, student loan repayment, and paid family leave credits. While proposals to enhance ICHRAs were not included, employers will need to prepare for these updates, consider plan amendments, and await IRS guidance on new tax-favored “Trump Accounts” launching in 2026.
