PNC HSA Funding & Contribution Guide for Employers

PNC HSA Funding & Contribution Guide for Employers How to set up and send employer-directed HSA Contributions with PNC Bank 20180924AHNJ

Document Updates The table below details updates made to the document since its initial release. Date Summary of impact Notes 07/24/2018 Document released for use. NA 08/04/2018 Employer contribution support email address added. See page 4. 09/24/2018 Notification that after completing the one-time activity of establishing a funding bank account that the user must wait 24-hours for this validation and linking process to finalize. Users should not attempt to enter any contributions until the process has finalized. See pages 4 and 13. 2 P a g e V e r s i o n 1.0

Table of Contents Document Updates...2 Table of Contents...3 Introduction...4 Account Funding Checklist...4 Employer Funding Options Overview...6 Accessing Contribution Manager via the Employer Portal...7 Administrative Access to Contribution Manager... 7 Managing Contributions: Step-by-Step... 10 Establishing a Funding Bank Account (A One-time activity)... 10 Option 1: Manage Contributions via Direct ACH... 14 Option 2: Manage Contributions via Employer Portal User Interface... 15 Option 3: Managing Contributions via Employer Portal File Download and Upload... 20 Troubleshooting: Modifying the Formatting of the Employee ID Field... 24 Option 4: Managing Contributions via Employer Portal File Upload... 25 Contribution Manager Functionality through the Employer Portal... 27 Accessing contribution manager... 27 Common Error Codes... 30 Reporting... 31 Accessing Reports... 32 Reconciliation Reports... 33 HSA Account Detail Report and Account Opening... 36 How to Read and Interpret Account Status... 37 Quick Guides... 41 Entering a One-time Contribution... 42 Entering Contribution Amounts by Medical Tier... 48 3 P a g e

Introduction This guide provides an overview and step-by-step instructions of employer-directed HSA contribution options with PNC Bank. Contributions to an HSA can be made by you, your employees*, or a combination of both. Use this guide to learn more about accessing the HSA through the Employer Portal, the various employer funding options, and employer HSA reporting. For questions about funding and contributions associated with a PNC HSAs, email: hsaemployercontributionsupport@amerihealth.com Account Funding Checklist Below is list a of actions that need to be completed to put funds into your employees HSAs: Ensure that you have access to the Spending Account section of the Employer Portal. As needed, contact your sales representative to enable access. Determine your preferred funding method (Options 1*, 2, 3, or 4) Establish a funding bank account (Note, ACH-direct contributions do not go through Contribution Manager.) Enter contributions using your preferred method (Administrators must wait 24-hours for the funding bank account validation and linking process to finalize before entering contributions.) Reconcile to confirm that the expected contributions have successfully posted to employee accounts * Account holders can also make post-tax contributions directly into their HSA accounts without any employer involvement. Details about this process are provided in employee materials. 4 P a g e V e r s i o n 1.0

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Employer Funding Options Overview There are several ways you can make account contributions: 1) Direct ACH, 2) Employer Portal User Interface, 3) Employer Portal File Download and Upload, 4.) Employer Portal File Upload. You are not restricted to only one method and may find a combination works best. Method Description Employee identifier used Ability to specify employer vs employee contribution Ability to specify current vs. prior year contribution Ability to specify payroll date Group funding process What if employee s HSA is not active? 1. Direct ACH Funds are directly deposited into each account holder s HSA. Typically, this approach is used for payroll-driven contributions with payroll vendor integration. HSA Account Number must be provided by the account holder to the employer. No No No Typically driven by payroll feed. Funded through employer s bank direct to HSAs The direct deposit ACH is returned to the employer within 2-3 business days 2. Manage Contributions via Employer Portal 3. File Download and Upload via Employer Portal * 4. File Upload via Employer Portal Employer Portal provides tools to create one-time and ongoing contributions. Recommended for small groups (2-50), for midsized groups with limited turnover, and for onetime tier-based employer contributions. Employer creates a file that can be edited loaded when needed for contributions. Recommended for larger groups (> 100 employees). Employer maintains a file offline that is edited and loaded when needed for contributions. Recommended for larger groups (>100 employees) that maintain payroll files offline. Employer generates a full list of employees with open HSAs. Employee ID (UMI) with open HSAs. Employee ID with open HSAs. Yes Yes Yes (can be current day, past or future) Employer debited next day for total of processed contributions using ACH First time prenoting and account validation No deposit is processed, employer can upload again once HSA is opened or reactivated *Administrators may create a file using Option 3 and then chose to use the File Upload process Option 4, for future funding transactions. 6 P a g e V e r s i o n 1.0

Accessing Contribution Manager via the Employer Portal Contribution Manager is where you go to view and manage pending, posted, and denied deposits. Administrative Access to Contribution Manager Important note: Before an individual can manage employer HSA activities, HSA administrative access must be granted. If you already have access to the Employer Portal, you will only need to add access to the Spending Account section of the portal. To request this access, simply go to the Forms & Guides tab on the Employer Portal. Search for and download the User Access Form. Complete the top section of the form with your demographic information. On page two, check the Spending Account Access box; complete the information requested and submit it as directed on the form. If you do not currently have access to the Employer Portal, contact your sales representative and they will ensure appropriate access to the Employer Portal. Employer resources for Spending Account are available in the Marketing Toolkits area of the Employer Portal. How to Access to Contribution Manager Step 1: Log into the Employer Portal using your assigned log-in information. Step 2: Select Enrollment & Billing. 7 P a g e

Step 3: Select Assist Employees. Step 4: In the Spending Account section, select Spending Account. A new window opens. Step 5: Click on the three bars at the top left to access the home page of Contribution Manager. 8 P a g e V e r s i o n 1.0

Step 6: Select Employer then Contribution Manager You can navigate back to the Main Menu at any time by using the three parallel bars in the upper left of the screen. 9 P a g e

Managing Contributions: Step-by-Step Establishing a Funding Bank Account (A One-time activity) Important note: Only employers who use the Contribution Manager on the Employer Portal (Funding Option 2) or one of the File Upload methods (Funding Options 3 or 4) need to connect a bank account from which contributions are pulled prior to loading payroll deposits. Step 1. Determine which bank account your organization will use to fund the HSA Each time you transmit contributions to our system, an aggregated ACH file is created to debit your bank account and credit the HSA with the contribution amount in the payroll file. Important note: To ensure proper funding when using the Contribution Manager on the Employer Portal (Funding Option 2) or one of the File Upload methods (Funding Options 3 or 4) you will need to provide your financial institution with the PNC Company ID Filter. The PNC Company ID Filter is 1221146430. External Systems (Option 1) Our System/Contribution Manager (Options 2, 3, 4) Employer pushes or deposits funds to bank account Payroll funding account configured using the bank account established to process payroll deductions Payroll file is loaded to our system by 1) EDI to the ftp folder or 2) Contribution Manager via the Employer Portal or a file ulpoad Established bank account processes payroll contributions Individual employee accounts are credited Payroll account debited 10 P a g e V e r s i o n 1.0

Step 2. Enter your bank account information Once your set up is complete, on the left of the Employer Portal, you will find the site s main menu that can be expanded to reveal its full access and capabilities. To create a new bank account, click Employer to reveal a submenu. Select HSA Funding Account from the submenu and click the New button. Enter the bank account information. Fields with an asterisk (*) are required fields. 11 P a g e

Step 3. Account Validation Process To ensure funding accounts have been entered correctly, you must complete a validation process. We send micro credit transactions to the bank account for two random amounts between $0.05 and $0.25 each, as well as a single micro debit transaction for the sum of the two credits (netting out to $0). Once our platform deploys your micro transactions, your funding bank account Status will change from Pending Validation to Validation Required. This typically occurs the day after you enter your banking information. To complete the validation process, you must enter the credit and debit amounts into our platform. Simply click the Validation Required link to enter your three micro transactions into the pop box and click the Submit button to complete validation Be sure to enter a negative number for the debit transaction, Transaction Amount 3* as shown below. After you click the Submit button, your funding bank account Status will change from Validation Required to Confirmed. Important note: If you do not enter the transaction amounts correctly the first time, you can make up to two additional attempts. If the third attempt is unsuccessful, the account is automatically deleted and you must begin the account validation process again. 12 P a g e V e r s i o n 1.0

Funding Bank Account Statuses Use the following table to understand the various funding bank accounts statuses you may see during the micro validation process. Status Pending Validation Validation Required Confirmed Fix Account Description The validation request has been submitted, but the micro credits and debit have yet to be deployed. You cannot edit the account number, routing number, or account type. The micro credits and debit have been made to the account. This status is hyperlinked. Once clicked, you can enter the credit and debit amounts to validate your account. You can delete the account, but you cannot edit the account number, routing number or account type. The account has been validated and linked on the notional account. You can delete the account if it is not linked to a notional account, but you cannot edit the account number, routing number or account type. The account could not be validated. Review the account information and verify that it is correct. You can delete and edit all account information. Step 4. Add your bank as the funding source Once your bank account has been validated, click Edit under the Action column to complete setup. 1. Select the account in the All Accounts box and add to the Selected Accounts box. 2. Set your Funding Notification preferences; enter your email address. The process is complete. Important note on timing: It takes 24-hours for this validation and linking process to finalize. Do not attempt to enter any contributions until 24 hours has passed and the process has finalized. 13 P a g e

Option 1: Manage Contributions via Direct ACH Employee HSA accounts are opened Employer receives report w/ HSA numbers Employer or payroll pushes contributions to individual HSA Individual ACH credits for active accounts posted by HSA custodian Deposits returned for HSA not yet opened, closed or frozen Submitting pre-tax HSA contributions via Direct ACH can be a fast and easy way to manage contributions, especially if a process is already in place with your financial institution or payroll company for directing funds to employee-owned accounts. Following your existing payroll process, add the HSA bank routing and account number for each account holder. The PNC routing number is 052102215. Standard ACH timing rules apply. Funds will be available by approximately 5:00pm ET the business day after an Direct ACH has been initiated or pushed. Important note: The HSA Account Details report does not include the employee account number. Should you choose to use Direct ACH, it is recommended that you update your direct deposit authorization form to include a section for the employee to add their health savings account information and the dollar amount they would like to be withheld and deposited. Once this information is obtained from the employee, follow the process outlined by your financial institution or payroll company. Check with your financial institution or payroll company about any pre-noting activities they perform before funds are deposited into an employee s HSA. 14 P a g e V e r s i o n 1.0

Option 2: Manage Contributions via Employer Portal User Interface Employee HSA accounts are opened Login to Employer Portal Navigate to create contributions page, enter desired payroll date, and employer amount for all All employees display with employer amount; enter employee contributions Employer account debited for total successful contributions Important notes: This funding method is ideal for group sizes from 2-50 employees, for mid-sized groups with limited turnover, and for Entering Contribution Amounts by Medical Tier. Before following the steps below, make sure you have already followed the instructions to Establish a Funding Bank Account. This guide contains additional detail on Contribution Manager Functionality and common error codes. This guide also includes steps to enter a one-time contribution for a newly hired individual or an individual that has recently completed the CIP process. The contribution process occurs in distinct stages. This means that you can populate contributions and then review them and edit (or delete) before any action occurs. Step 1: To create a contribution, access: Main Menu > Employer > Contribution Manager > Create Contributions 15 P a g e

Step 2: Confirm that your Employer group, Plan Year, and Benefit Plan are selected. Step 3: Select the current or future payroll date. (Select future Plan Year when scheduling contributions for a plan year that has not yet started.) Step 4: Select the method to auto-populate contributions (pay period, coverage tier, or divisions) The Per Pay Period Amount option gives you a roster of everyone. Coverage Tier and Division allow you to quickly populate contributions based upon tier/division. The tier option is useful with annual single / family employer contributions 16 P a g e V e r s i o n 1.0

Step 5: Select accounts to receive contributions. Active Accounts Only should always be used when making contributions to HSAs. Should you make a deposit to an inactive HSA, the contribution for that individual will fail and will need to be resubmitted at a later date. Step 6: Click the Display Contributions button. Based on your selections, a contribution table will populate. From here, you can manually edit contributions in the table as necessary. Sorting the file by last name may make it easier to make updates or edits. Below the contribution table are three buttons: Load Contributions: Use the table above to load all contributions as pending. You will be able to review pending contributions before they are submitted for processing. Export to Excel: Export all contributions shown into a Microsoft Excel spreadsheet formatted as a.csv file. (Important note) Clear All Values: Zeros-out all currently populated contribution amounts so they can be manually entered. 17 P a g e

Step 7: Save your contributions and confirm they are accurate. All newly-saved contributions will be displayed with a pending status and can be viewed and edited in the Pending Contributions section of the main Contribution Manager page until they have been processed. If you do not take action using the buttons at the bottom of the page, contributions entered with the current date, prior to 3:45pm ET, will be posted the following business day by approximately 5:00pm ET. Important notes: When a contribution is in a pending status, you can use the Edit or Delete buttons in the Action column to make additional changes. The option to edit or delete is available up to two business days prior to the payroll date to; after that date, no edits or changes may be made. 18 P a g e V e r s i o n 1.0

Additional Options Use the following table to understand the functions of the five buttons that appear under the results table. Delete All Button Expedite Processing of Pending Contributions Export to Excel Save Employee Amounts as the Employee Per Pay Period Election Save Employer Amounts as the Employer Per Pay Period Election: Description Use this button to delete all the contributions you just saved. This enables you to bypass the regular timeframe and begin processing eligible HSA contributions immediately. When enabled, the contribution status changes to processing and no changes can be made. The contributions are posted based on a one-business day bank processing delay. Click the Expedite Pending Contribution button after loading contributions on screen or in the Contribution Manager > Pending Contribution section. When contributions are not eligible to be expedited, such is the case with notional account types, this button will be disabled. Important note: We recommend that you do not use the Expedite Processing of Pending Contributions option with future-dated contributions as it prevents you from taking advantage of the edit capabilities. Export all contributions shown into a Microsoft Excel spreadsheet. (Important note) This saves the currently-loaded employee amounts as the employee perpay-period election. The next time contributions are loaded using pay-perperiod amounts to auto-populate contributions, this amount will populate the employee amount. Saved amounts must be greater than $0.00. This saves the currently-loaded employer amounts as the employer per-payperiod election. The next time contributions are loaded using pay-per-period amounts to auto-populate contributions, this amount will populate the employer amount. Saved amounts must be greater than $0.00. 19 P a g e

Option 3: Managing Contributions via Employer Portal File Download and Upload Employee HSA accounts are opened Login to the Employer Portal Download funding file with active HSA (SSN is optional to include) Review contributions, adjust amounts as needed, and upload the file Employer funding account is debited for total successful contributions Important notes: This funding method is ideal when you have more than 100 employees and want to be able to review the contributions in Excel. Before following the steps below, make sure you have already followed the instructions to Establish a Funding Bank Account. This guide contains additional detail on Contribution Manager Functionality and common error codes. This guide also includes step to enter a one-time contribution for a newly hired individual or an individual that has recently completed the CIP process and Entering Contribution Amounts by Medical Tier. Step 1: To create a contribution, navigate to the Contribution Import & Results page. To access: Main Menu > Employer > Contribution Manager > Contribution Import & Results Step 2: Select the Plan Year, Benefit Plan and Payroll date (current or future). 20 P a g e V e r s i o n 1.0

Important notes: We do not use members social security numbers (SSN) to process payroll files. Should your payroll system use account holder SSNs to process payroll files, you may find it helpful to include the SSN field values on downloaded payroll files. Check the box next to the Include employee SSN on payroll file option. When you select to include SSNs, the downloaded file will have an additional column for the SSN while all other columns remain unchanged. This column will not affect the file upload process. Step 3: Click the Create Payroll with Active Accounts Only button. If a contribution is made to an inactive HSA, the contribution for that individual will fail and will need to be resubmitted at a later date. Once you have clicked Create Payroll with Active Accounts Only, a.csv file will download to your computer with a file name Payroll Deposit and the date. 21 P a g e

Important note: You can use the resulting file as a template for future payroll files, but you must be sure to follow the existing file s column sequencing and cell formatting. Any changes to the column sequencing will create errors when uploading. For guidance see Troubleshooting: Modifying Formatting of the Employee ID Field. Open the file and enter your contribution amounts. Important notes: You must first convert the cell formatting of the Employee ID column from Scientific formatting to Number formatting with 0 decimal places upon opening the file. If not modified, the file upload will fail upon future use in Contribution Manager. This action must be taken EVERY time the Contribution File is downloaded and/or opened. For guidance see Troubleshooting: Modifying Formatting of the Employee ID Field. To make it easy for you to locate the file in the future, and/or to enable WCA support, as needed, rename the file using the following format: <Customer Name>_<upload date: YYYY.MM.DD>.csv. For example: SaladLoversInc_2018.07.11.csv Step 4: Import contributions. On the Contributions Import & Results page, click the Choose File button. Locate and select the payroll file that you saved to your computer. Click the Process button. Upon successful submission, a green confirmation message will appear at the top of the page. It may take a few minutes for the process to complete and appear in View Results. 22 P a g e V e r s i o n 1.0

Once the system has finished loading your file, you can click the Refresh button and a results table will appear. Use this table to confirm each line of your file upload was successful. You may sort the file by Errors Only or you may also choose to export the file and filter for any contribution that was not successful. Successful contributions are placed in a pending status and can be viewed and edited in the Pending Contributions section of the main Contribution Manager page until they have been processed. Contributions entered prior to 3:45pm ET will be posted the following business day by approximately 5:00pm ET. If the submission is unsuccessful, consider confirming the following: File format is a.csv file; see Troubleshooting: Modifying Formatting of the Employee ID Field The cell formatting and the column naming conventions are consistent with original file structure If the need to load the file is urgent, consider using Option 2 as an alternative approach. The successful file may be used to support future file uploads. This process is streamlined and detailed in Option 4 where you directly upload a pre-configured file that you manage offline without downloading a file first. 23 P a g e

Troubleshooting: Modifying the Formatting of the Employee ID Field When FIRST downloaded, the Employee ID column in Payroll Deposit <date>.csv file defaults to Excel s Scientific formatting. Prior to saving the document to a convenient location, users must first convert this column to Number formatting with 0 decimal places. Follow the steps below to ensure that the file cell formatting is properly set. Open the downloaded Contribution File Locate the Employee ID column; highlight the entire column Right click the mouse; the Format Cells option will populate Modify the formatting to reflect Number Modify the decimal places to reflect 0 Click OK The column will now reflect the properly formatted number Save the.csv file to a convenient location- using the following naming convention: <Customer Name>_<upload date: YYYY.MM.DD>.csv. For example: SaladLoversInc_2018.07.11.csv This action must be taken EVERY time the Contribution File is downloaded and/or opened. Do NOT save the file as a.xls file; the Contribution Manager will allow only.csv file formats to be uploaded. 24 P a g e V e r s i o n 1.0

Option 4: Managing Contributions via Employer Portal File Upload Employee HSA accounts are opened Login to Employer Portal Upload pre-configued file Monitor errors Important notes: This funding method is recommended for larger groups (>100 employees) that maintain payroll files offline. This funding method is slightly different than Option 3 because you can directly upload a pre-configured file that you manage offline without downloading a file first. For additional insight see Troubleshooting: Modifying Formatting of the Employee ID Field. This guide contains additional detail on Contribution Manager Functionality and common error codes. This guide also includes step to enter a one-time contribution for a newly hired individual or an individual that has recently completed the CIP process and Entering Contribution Amounts by Medical Tier. Step 1: Configure your file using the following specifications: File format:.csv Template fields and formatting: Important notes: Cell formatting must match the above template sample exactly, including the column naming conventions. SSN is an optional column; however, if added, it must follow the EE ID column. Any changes to the format will create errors when uploading into our system. 25 P a g e

Step 2: Import contributions. On the Contributions Import & Results page, click the Choose File button. Locate and select the payroll file that you configured on your computer. Click the Process button. Upon successful submission, a green confirmation message will appear at the top of the page. It may take a few minutes for the process to complete and appear in View Results. Once the system has finished loading your file, you can click the Refresh button and a results table will appear. Use this table to confirm each line of your file upload was successful. You may sort the file by Errors Only or you may also choose to export the file and filter for any contribution that was not successful. Successful contributions are placed in a pending status and can be viewed and edited in the Pending Contributions section of the main Contribution Manager page until they have been processed. Contributions entered prior to 3:45pm ET will be posted the following business day by approximately 5:00pm ET. If the submission is unsuccessful, consider confirming the following: File format is a.csv file; see Troubleshooting: Modifying Formatting of the Employee ID Field The cell formatting and the column naming conventions are consistent with origional file structure If the need to load the file is urgent, consider using Option 2 as an alternative approach. 26 P a g e V e r s i o n 1.0

Contribution Manager Functionality through the Employer Portal Important note: The features outlined below are applicable only when using the Contribution manager via the Employer Portal (Options 2, 3, or 4) to fund HSA accounts. The options are not available for the Direct ACH funding option. Accessing contribution manager To access the Contribution Manager, log into the Employer Portal, then go to Main Menu > Employer > Contribution Manager > Contribution Manager, then customize your search requirements and payroll date range. Note that this range cannot be greater than 90 days. Each section on this page can be expanded to reveal greater details. Additional information on each section as well as common error codes follow in this guide. Employee Elections Pending Contributions Future Auto Deposits Posted Payroll Deposits Denied Payroll Deposits 27 P a g e

Employee Elections Employee elections lists the currently-saved employee and employer per-pay-period elections and annual elections. Employee names will be hyperlinked to their home page of demographic details. Pending Contributions These are contributions that have been initiated but are awaiting processing and posting. Until the contribution has been posted, you can use the Action column to edit the amount of the contribution or delete it completely. Other actions you can take are designated by buttons below the Employee Elections table: o Delete All: Deletes all pending contributions. o Expedite Processing of Pending Contributions: Within two business days of payroll, you can bypass the regular timeframe and begin processing contributions immediately. When contributions are not eligible to be expedited, such is the case with notional account types, this button will be disabled. 28 P a g e V e r s i o n 1.0

Future Auto Deposits Important note: The Future Auto Deposits feature is used with other types of spending accounts. We do not support auto-scheduling of future deposits with HSAs due to the risk that funds are incorrectly deposited into a termed employee s account. Any funds deposited in error require approval from the account owner before being returned. Posted Payroll Deposits This section shows all posted payroll deposits for the chosen plan and timeframe. Denied Payroll Deposits Any payroll deposits that failed or were denied by the Administrator or employer will display in this section. The failure reason is provided along with an error code. Important note: A denied or failed payroll deposit will need to be resubmitted. 29 P a g e

Common Error Codes Use the table below to understand common error codes. Error Code 471 472 Error Description Invalid PNC Bank Current Year Contribution Transaction Code Invalid PNC Bank Current Year Negative Contribution Transaction Code User Description Invalid PNC Bank Current Year Contribution Transaction Code. Invalid PNC Bank Current Year Negative Contribution Transaction Code. 473 Invalid PNC Bank Account Number DDA Invalid PNC Bank Account Number DDA. 502 Bank account closed Previously active account has been closed by the customer of RDFI. 504 Invalid bank account number Account number structure is not valid. 516 Bank account frozen Funds in bank account are unavailable due to action by RDFI or legal order. 543 External funding deposit failure External funding deposit failure. 587 Exceeds Family + Catch-up Limit 588 Exceeds Family + Catch-up Limit 589 Exceeds Single Limit 590 Exceeds Single + Catch-up Limit 591 Exceeds Family Limit 592 Exceeds Family + Catch-up Limit 593 Exceeds Family + Catch-up Limit 594 Exceeds Family Limit Contribution amount would exceed the IRS limit for Family coverage + Catch-up. This error code is applicable when the account holder's age is at least 55 or no age is provided. Contribution amount would exceed the IRS limit for Family coverage + Catch-up. This error code is applicable when the account holder's age is less than 55. Contribution amount would exceed the IRS limit for Single coverage. Note: Account holder has Single coverage. Contribution amount would exceed the IRS limit for Single coverage + Catch-up. Note: Account holder has Single coverage. Contribution amount would exceed the IRS limit for Family coverage. Note: Account holder has Family coverage. Contribution amount would exceed the IRS limit for Family coverage + Catch-up. Note: Account holder has Family coverage. Contribution amount would exceed the IRS limit for Family coverage + Catch-up. Note: account holder does not have valid coverage tier assigned. Contribution amount would exceed the IRS limit for Family coverage. Note: account holder does not have valid coverage tier assigned. 30 P a g e V e r s i o n 1.0

Reporting Below is a summary of the HSA reports available to assist with the PNC Bank HSA. Name HSA Future Contribution Report Employee Deposit Log Employer HSA Summary Report HSA Account Details Report HSA Funded Contribution Report Description Allows you to report on future dated benefit account deposits. The report details two types of deposits, Pending Contribution deposits and Scheduled Payroll Calendar Deposits. Pending Contribution deposits are composed of future dated payroll deposits and HSAbased future dated funding deposits. This report allows Administrators and employers to more accurately predict future contribution amounts, based on scheduled deposits in WCA. Shows all deposit activity to account holder benefit accounts. The report can be used to reconcile all or specific deposit types both employee and employer that occurred within a date range. Summary of HSA accountholder account statuses, transactions, and investments. Allows you to view details about PNC Bank HSA accounts within WCA. Most importantly, this report allows you to see if a new enrollee s HSA is still in pended status. Shows the status of payroll contributions submitted within a specified date range. This report helps you confirm whether contributions are posted successfully, or identify the reason for failure. If a contribution is posted unsuccessfully, the reason for failure is included. HSA Payroll Reconciliation Report Provides a list of payroll funded HSA credits within a specified date range. It facilitates reconciliation of employee and employer contributions posted via Direct ACH or through Payroll Funding in WCA. It provides options to use transaction date or posting date and you see transaction date, effective date, and posting date in the results HSA Terminations Report Provides a list of HSA terminations. For instance, you can have someone who remains in the qualified plan, but who has terminated their HSA. This report will also show you which employees who were removed from the qualified high deductible health plan have been moved to a PNC retail account. 31 P a g e

Accessing Reports To access Reports: Main Menu > Reports > Request > HSA Administration When you have set the report parameters and are ready to view the report, click the Generate button at the bottom left of the screen to complete the request. The message below will display when the requested report is available to view. To view reports: Main Menu > Reports > Results > View Reports If the report is still in queue, click on View Reports after waiting a few seconds. In all reports, the Employee ID is the Unique Member Identification (UMI). For all reports you may want to change Mask Employee ID to No so that you can easily sort and cross reference the data. 32 P a g e V e r s i o n 1.0

Reconciliation Reports Important note: It is critical that payroll contributions be reconciled after they have been processed. This will confirm that the expected contributions have successfully posted to employee accounts. When reconciling, the following reports are recommended. The HSA Payroll Reconciliation Report can be used to reconcile employee and employer contributions posted via Option 1, Direct ACH or through Payroll Funding in WCA. The HSA Funded Contribution Report helps you to easily confirm whether contributions are posted successfully via Options 2, 3, 4, or identify the reason for failure. The HSA Future Contribution Report shows contributions that have been loaded or scheduled for a future date. The Employee Deposit Log can also be used to reconcile all or specific deposit types both employee and employer that occurred within a date range. HSA Payroll Reconciliation Report This report provides a list of payroll-funded HSA deposits within a specified date range. Use this report to reconcile employee contributions posted via Direct ACH as well as payroll funding for you and your employees. This report does not include failed or unsuccessful contributions. The total contributions reflected in this report should balance to the amount of the ACH pulled from your funding bank account or the total amount transmitted via ACH. 33 P a g e

HSA Funded Contribution Report Use this report to confirm the status of employer-directed contributions submitted within a specified date range. It helps you to easily confirm that contributions posted successfully and if needed, identify reasons for failure. If a contribution is submitted for an employee whose HSA status is not active, the contribution will fail and will be reflected on this report. Failed contributions must be reviewed and resubmitted once the HSA is active. The total dollar amount of successful contributions should balance to the amount of the ACH pulled from the employer. HSA Future Contribution Report This report is useful to view contributions that have been scheduled for up to 90 days in the future. 34 P a g e V e r s i o n 1.0

Employee Deposit Log This report can be used to reconcile all or specific deposit types both employee and employer that occurred within a date range. 35 P a g e

HSA Account Detail Report and Account Opening The HSA Account Detail Report allows you to view details of PNC Bank HSA accounts. Most importantly, because only open accounts can accept contributions, this report allows you to see the status of a new enrollee: pended or active. This report shows you who has an account opened, when it was opened, and who is still going through Customer Identification Process (CIP) and Office of Foreign Assets Control (OFAC) review 1. To access the HSA Account Details: Main Menu > Reports > Request > HSA Administration > HSA Status Report You can run the report using default settings or apply any of the filter options. 1 Under the PATRIOT Act, all financial institutions, including PNC Bank, are required to complete two verifications when opening accounts, the Customer Identification Process (CIP) and Office of Foreign Assets Control (OFAC) review. For CIP, PNC Bank compares demographic information against a third-party system (e.g., SSN, Name, Address). If any piece of the information does not match, or if someone uses a PO Box for the address we provided, PNC Bank cannot open the HSA until additional information is provided by the member. 36 P a g e V e r s i o n 1.0

How to Read and Interpret Account Status To understand the true status of an HSA account, you may need to look at a combination of columns, depending on the initial status of the Customer Identification Process (CIP). The HSA Account Detail report contains many fields. However, the critical data columns to review when attempting to interpret the status of an HSA account are (see visual below): Employee Name Account Upload Enrollment date Enrollment Method ID Verification Status ID Verification Employee Account Account Open Account Close HSA Account Detail Report Excerpt To get to the information you need, we recommend either using Excel s Freeze Pane s feature (under the View tab) or Excel s Column Hide capabilities. Typically, three scenarios exist; each is detailed in this guide. Scenario 1: Automated Completion of CIP (The vast majority of employees) Scenario 2: ID Check Failure During CIP; Awaiting Documentation Scenario 3: ID Check Failure During Initial CIP; Documentation Submitted and Approved 37 P a g e

Scenario 1: Automated Completion of CIP In this scenario, the account holder s identity was verified during the account opening process. The enrollment was sent to PNC Bank on 06/21/2018. The PNC Bank HSA is open after completion of the automated CIP. The funds are accessible no sooner than the medical plan start date. The welcome letter and debit card have been issued to the account holder. The critical data columns in the HSA Account Detail Report will display as follows: Account ID Employee Enrollment Enrollment Upload Verification Account Date Method Status Status Status Application Approved Notes: Remains Blank. Remains Blank. ID Check Passed Account Open Date Active 07/01/2018 Account Close Date Remains Blank. 38 P a g e V e r s i o n 1.0

Scenario 2: ID Check Failure During CIP; Awaiting Documentation In this scenario, the account holder s identity was not verified during the account opening process and PNC is awaiting additional information from the account holder. The enrollment was sent to PNC Bank on 06/21/2018. PNC Bank has mailed a letter to the member, notifying them that additional information is needed to complete CIP Verification. The funds are not yet accessible. The welcome letter has not yet been issued to the account holder. The critical data columns in the HSA Account Detail Report will display as follows: ID Employee Account Upload Enrollment Enrollment Verification Account Status Date Method Status Status Awaiting Additional Information Notes: This field will change to Application Approved, or Denied if the requested ID verification documentation is not provided. 06/21/2018 Remains Blank. ID Check Failed New or Active Active does not mean HSA Active. Account Open Date Remains blank until the account is opened. Account Close Date Remains Blank. When information is submitted by the employee to satisfy a CIP request, an interaction is added to the employee s account. The integration notes if the information was sufficient to open the account or if additional information is needed. To view the interaction status: Main Menu > Employee > Employee > Interactions. The typical turnaround time once the information is received is 1-2 business days. If needed, to confirm receipt of the information, employee calls can be directed to the HSA Account Services at: 1-855-424-7211 Monday Friday 8AM-8PM ET 39 P a g e

Scenario 3: ID Check Failure During Initial CIP; Documentation Submitted and Approved In this scenario, the account holder s identity was not verified during the account opening process; however, the account holder subsequently provided information to satisfy CIP. The enrollment was sent to PNC Bank on 06/21/2018. The PNC HSA is opened after a manual review or additional information was provided by the account holder. The funds are accessible as of the Account Open Date. A welcome letter and debit card have been issued to the account holder. The critical data columns in the HSA Account Detail Report will display as follows: Account ID Employee Enrollment Enrollment Upload Verification Account Date Method Status Status Status Application Approved Notes: This field changes when review is completed. 06/21/2018 ID Check Failed This field always remains as ID Check Failed. New or Active Will change from New to Active. Account Open Date 07/05/2018 Reflects Date Application was Approved. Account Close Date 40 P a g e V e r s i o n 1.0

Quick Guides The WealthCare Administration System (WCA) offers additional functionality that Administrators may find useful. Additional information is available to support the following actions: Entering a one-time contribution This process is useful if contributions must be made for a new employee or if contributions need to be made for individuals who have recently passed the Customer Identification Process (CIP), who are, by definition, new. The contribution by medical tier method of funding option can be leveraged for both monthly and one-time contributions and makes it easier to load specific funding amounts over larger populations. 41 P a g e

Entering a One-time Contribution The steps below detail how an Administrator can make a one-time contribution. This process is useful if contributions must be made for a new employee or if contributions need to be made for individuals who have recently passed the Customer Identification Process (CIP), who are, by definition, new. You will need to add individuals entered via the one-time method to any saved contribution files used to load future HSA contributions. Step 1: Log into the Employer Portal using your assigned log-in information. Select Enrollment & Billing. Step 2: Select Assist Employees. 42 P a g e V e r s i o n 1.0

Step 3: Under Spending Account, select Spending Account. A new window opens. Step 4: Click on the three bars at the top left. Step 5: Select Employer > Contribution Manager > Create Contributions. 43 P a g e

Step 6: Choose the Current Plan Year. Step 7: Choose the PNC HSA Benefit Plan. Step 8: Select a Contribution Date. 44 P a g e V e r s i o n 1.0

Step 9: Select Per Pay Period Amounts. Select Only Active Accounts. Click Display Contributions. A list of all employees meeting the criteria displays, sorted by Employee ID. (You can resort by last name). Step 10: Enter contributions. 45 P a g e

If you have more than one page of employee accounts, use the navigation buttons at the bottom of the page to move between pages. When complete, you can Load Contributions, Export to Excel, or Clear all Values. If you click Load Contributions a list of only those individuals with pending contributions appears. On the resulting screen, you can edit or delete individual lines. You also have the option of Deleting All, Expediting, or Exporting to Excel. Step 11: Click on Expedite if you are sure the amounts are correct. (If you were going to save contributions as a per-pay amount, you would use the buttons on the bottom right.) 46 P a g e V e r s i o n 1.0

A success message displays. The pending contributions are then processed. 47 P a g e

Entering Contribution Amounts by Medical Tier Administrators can fund HSA accounts by medical tier. This option can be leveraged for both monthly and one-time contributions and makes it easier to load specific funding amounts over larger populations. The tiers available include the following: Single, Employee + Spouse, Employee + Child, Employee + Children, Employee + Family, and None Assigned. Step 1: To create a contribution, navigate to the Create Contributions page. To access: Main Menu > Employer > Contribution Manager > Create Contributions. Step 2: Confirm your Employer group, Plan Year (Current), and Benefit Plan are selected. 48 P a g e V e r s i o n 1.0

Step 3: Select the appropriate Payroll Date. Select Set by Coverage Tier from the Select Method to Auto- Populate Contributions drop-down options. The page below will display. Step 4: Enter the employer contribution amounts into the fields as appropriate for each tier. When complete, click Display Contributions. 49 P a g e

The contribution amounts will populate for all accounts. Amounts can be manually edited as needed. Proceed as desired using the buttons displayed at the bottom of the page. 50 P a g e V e r s i o n 1.0