You purchased new glasses, squeezed in a dentist appointment and bought over-the-counter medications. If you still have money left in your Flexible Spending Account (FSA), spend it quickly before the deadline.
We've put together a list of the products that are available at the FSA Store. This store offers over 4,000 FSA-eligible items.
We've put together a guide to help you understand what a FSA is, and why you should spend your pretax money.
What is a FSA?
Many employer benefit plans offer a flexible spending account, which allows you to save pretax dollars for out-of pocket expenses related to health care for yourself, your spouse, and dependents.
What is the FSA?
Each paycheck, you are required to set aside a certain amount before taxes. The pre-tax money can be used to pay for eligible health care costs throughout the year. Calculators are available to estimate the amount you can save, even though it depends on your tax bracket.
Why must I spend my FSA funds before a specific date?
The majority of FSA participants follow a "use it or loose it" plan. This means that any money remaining in your account at the end of the calendar year will be forfeited. You cannot receive the unused money in your account in another way. Also, you can't transfer it to another FSA. It's therefore important to remember the cut-off date of December 31.
You can spend the money until March 15, but many employers give you a grace period up to 2 1/2 months. You'll need to confirm with your employer because grace periods may be shorter.
Use FSA money
Typical purchases include bandages, thermometers, and glasses. All medical expenses, including those not covered by health insurance (like co-pays or deductibles for dependent daycare) and over-the-counter medications are eligible.
The FSA plan that your employer offers will determine the exact details of how you can use your FSA money. What's the upside? Shop at the FSA Store to save time and avoid extensive research.