Flexible Spending Account FSA Year End Reminder

2009 is almost over (only 2 days left!), so it is time to remember to use up any remaining money you might have left in your flexible spending account (FSA) before the year is over.

An FSA account is a “use it or lose it” tax-advantaged medical savings account, so if you don’t use it all up by the end of the calendar year, you stand to lose any remaining money you have left,

Most FSA accounts allow you to claim or file for reimbursement until the last day in March of the following year, but the expenses must have been incurred by the end of the previous calendar year.
So for calendar year 2009, you must incur the expenses by December 31, 2009, and you should be able to file for reimbursement (if your plan does not have a debit card tied to it, in which case you can just use it directly) until March 31, 2010. Be sure to check your FSA account details to be sure of the final date for reimbursement.

I have had a Health Savings Account for the last two years, and am quite pleased with it thus far, but I had an FSA account for several years before that, and a couple of times I had money left over come the end of December and mad a special trip or two to stock up on meds, contact lens solution, etc.

No one would want to get sick or have to go to the doctor just to use up their money of course, so if you have money left over you can stock up on items you might need in the coming months such as:

Contact Lens Solution
Over the Counter (OTC) Medicine- Sinus & Allergy meds, Cough Syrup, Aspirin, Tylenol, or Advil, etc.
Glasses or Contacts- new glasses, or even new prescription sunglasses
Birth control pills
Stop- Smoking Aids such as nicotine gum

Check out the following link for a list of eligible as well as ineligible FSA expenses

Of course, if you feel you have too much money left over this year, be sure to consider adjusting (if still possible) how much money you are saving during 2010 and keep track of your spending throughout the year so you do not have so much money left over come the end of December 2010.