What can I buy with a flexible spending account (FSA)? This is a common question among employees who have access to this valuable benefit. An FSA allows you to set aside pre-tax dollars for qualified medical expenses, which can significantly reduce your taxable income. But what exactly can you purchase with these funds? Let’s explore the possibilities.
Flexible spending accounts can be used to cover a wide range of medical expenses, including those not typically covered by health insurance. Here are some of the most common items and services you can buy with your FSA:
1. Prescription Medications: This includes both brand-name and generic drugs. Make sure to check the list of eligible medications provided by your FSA administrator to ensure your prescriptions are covered.
2. Over-the-Counter (OTC) Medications: While some OTC medications may not be covered, many are eligible for FSA reimbursement. This includes items like pain relievers, allergy medication, and first aid supplies.
3. Medical Supplies: Items such as crutches, bandages, and blood sugar monitors are often eligible for FSA purchases. Check with your administrator for the complete list of approved supplies.
4. Vision Care: You can use your FSA to pay for eye exams, glasses, and contact lenses. Some plans may also cover LASIK surgery.
5. Dental Care: FSA funds can be used for dental services like cleanings, fillings, and braces. Be sure to verify your plan’s specific coverage details.
6. Fitness Memberships: Some FSAs allow you to use funds for gym memberships and fitness classes. This can be a great way to encourage a healthy lifestyle.
7. Dependent Care: If you have dependents, you may be able to use your FSA to pay for child care or elder care services.
8. Telemedicine Services: As telemedicine becomes more popular, many FSAs cover virtual consultations with healthcare providers.
9. Health and Wellness Products: Items like fitness trackers, water bottles, and ergonomic office supplies may be eligible for FSA reimbursement.
10. Dental and Vision Insurance Premiums: Some plans allow you to use your FSA to pay for insurance premiums for yourself and your dependents.
It’s important to note that not all FSAs are the same, and coverage can vary based on your employer’s plan. Before making any purchases, be sure to review your FSA plan details to understand what is and isn’t covered. Additionally, many FSAs have a “use it or lose it” rule, meaning any funds not used by the end of the plan year may be forfeited. Planning ahead and staying organized can help you maximize the benefits of your flexible spending account.
