5 Flexible Spending Account tips to stay on track
If you have a Flexible Spending Account (FSA), then you may know that the funds you set aside expire by specific deadlines. These deadlines vary per plan and are determined by the guidelines of your individual plan.
Some plans may offer a grace period (a 2 1/2 month extension to spend down your FSA), and others may now allow for a carryover of up to $500 to the next year. Learn more about the "Use it or Lose it" changes introduced to FSAs.
Our short checklist serves to help you keep track of your FSA spending as you use the account for out-of-pocket expenses. You can use the FSA account toward a lot of FSA eligible expenses including (specialty) medical care, routine dental and eye care, and over-the-counter products like those sold at FSA Store.
Curious about new ways to use your FSA for the remainder of the year? Check out our post on what to use your Flexible Spending Account for in 2014?
As it's half way through the year, it's good to check on your FSA now to ensure you're maximizing the account, and to ensure you don't lose your hard-earned tax-free income. Many FSA holders have a plan year ending in December (as this is a popular deadline). Use your FSA every time for qualified expenses including medical services and products.
If you've experienced any major life changes recently (had a baby, got married, switched jobs) - also known as qualifying events - you might be able to change your contribution. However, this is something to discuss with your FSA administrator to see if your plan allows for mid-year changes.
It's best to always consult your FSA administrator (or HR department, if unsure who administers the FSA), who would be able to answer any questions about your FSA account.
The FSA administrator will also know details about your available balance, have access to any claims processing information, and fully understands which are qualified FSA eligible expenses for your account.