FSA eligible items and expenses of 2023: Best ways to use your FSA dollars

If you have a Flexible Spending Account (FSA), you need to spend these pretax funds quickly before the deadline hits to avoid them disappearing. Many employers provide a grace period of up to two and a half months into the new year for you to use the money, giving you until March 15 to spend it all. But you’ll want to check with your employer because grace periods can be shorter. Most FSA participants are part of a “use it or lose it” plan, which states that all the money left in your account by the end of the year must be forfeited. The unused amount left in your account can’t be paid out to you in any other way and can’t be transferred to any other FSA.

If you’re not sure exactly what an FSA is and why it’s important that you spend your pretax dollars, a flexible spending account (FSA) is offered through many employer benefit plans and allows you to set aside pretax money for eligible health care-related, out-of-pocket expenses for you, your spouse, and dependents. With each paycheck you receive, a certain amount of money is put aside before taxes. This pretax money is for FSA spending and is meant to be used on eligible health care expenses throughout the year. While the specific amount differs depending on your tax bracket, there are calculators available to help you estimate your savings amount.

There are more than 4,000 FSA eligible items, and employers have different plans in place for usage. A quick and easy way to purchase FSA eligible items is to shop at the FSA Store. Common purchases include everyday health care products like bandages, thermometers, and glasses. Everything from medical expenses that aren’t covered by a health plan (like deductibles and co-pays to dependent day care) to over-the-counter medication can also be eligible.

FSA-eligible expenses include several items, including: bandages, thermometers, isopropyl alcohol wipes, Band-Aids, acne patches, liners, organic cotton pantiliners, SPF 40 lotion, ointment from Aquaphor, mouthguards, Neosporin, at-home DNA testing kits, acne wash, TheraBand foot roller, Johnson & Johnson Red Cross All-Purpose First Aid Kit, oxygen and pulse portable lightweight monitor, acupressure cushion for back pain management, electrical muscle stimulation device, Welly Bravery Badges Colorwash Assorted Flex Fabric Bandages, Supergoop! Handscreen SPF 40, nasal inhaler for flu season, strips that help prevent blisters from new shoes, app-enabled thermometer, handheld device that cleans ears, cordless steam inhaler, invisible sunscreen, tinted lip balm with sun protection, non-invasive battery and USB-powered device that helps prevent or calm acne, Bausch and Lomb Biotrue Multipurpose Solution, headache relief pads, heating pad from Caring Mill, dpl Oral Care Light Therapy System, Chrip wheels that provide the option to stretch out, massage or target knots, vibrating foam roller, Theraflu Night Time Severe Cold & Cough Powder, device to relieve itchiness from insect bites, Epsom salts, IMAK weighted compression eye pillow, acupressure mat set for at-home relief, and a dual inflation mechanism gadget to lift, stretch, and separate joints in your spine.



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