Avoiding the FSA ‘Use It or Lose It’ Deadline: 10 Quick Tips to Spend Your Funds Before December 31

As the December 31 deadline approaches, an urgent reminder rings for the nearly 35 million Americans enrolled in Flexible Spending Accounts (FSAs) to utilize their funds effectively. Annually, over $3 billion in FSA funds go unspent, forfeited due to the ‘use it or lose it’ rule.

FSA Store, the leading online store for FSA-eligible products, has compiled a list of ten fast and effective ways for consumers to spend their remaining funds before time runs out.

As Rachel Rouleau, chief compliance officer for Health-E Commerce, expressed, ‘Nearly 70% of FSA account holders face a December 31 deadline. It is vital that we educate consumers about the impending deadline and provide them simple options to utilize their tax-free funds.’

Here are the top ten suggestions from FSA Store to maximize your FSA dollars in the final days:

1. Check Your Balance: Begin by confirming the balance of your FSA to understand how much you have left to spend.
2. Shop Online: Use FSA Store’s new deadline spending tool to browse eligible items within your budget.
3. Gifts for Family: Consider purchasing items for eligible dependents which can include health-related products.
4. Manage Conditions: Utilize your funds for products that address chronic conditions or routine care.
5. Bundles and Kits: Save time by selecting curated bundles that suit specific needs.
6. Brand Favorites: Purchase from trusted brands that have eligible products like pain relievers, first-aid items, and skincare.
7. Stock Up: Restock your medicine cabinet with necessary items such as thermometers and first-aid supplies.
8. Subscription Services: Consider signing up for telehealth services that can be paid with your FSA.
9. Care for Family: Use your FSA towards pregnancy and child health products, supporting growing families.
10. Explore Eligible Items: FSA Store has a variety of surprisingly eligible items that can be purchased until December 31.

To maximize your benefits, FSA account holders should verify their individual deadlines and potential employer extensions, which could include grace periods or partial rollovers. As the clock ticks down, now is the time to act and ensure your unused funds don’t go to waste.

For more information and shopping options, visit FSA Store.