Employers can offer a grace period or a rollover, but not both. And they don’t have to offer either.
“I hope that as the open registration approaches, people pay attention to their deadline, how much money they have left and how much money they will have the following year,” he said. said Rachel Rouleau, vice president of compliance at Health-E Commerce, the parent brand of FSAstore.com.
FSA account holders should be sure to check with their employers to see what changes – if any – have been made. And keep in mind that while plans typically run from January 1 to the end of the calendar year, plans can start at any time.
Make sure you buy qualifying products before the deadline
Americans lose over $ 400 million a year by not spending all the money they put into their FSAs, Rida Wong, President of Health-E Commerce, previously said Money.
A lot of this is because they just don’t understand what can be covered with their FSA funds.
During the pandemic, changes were also made to what you can spend FSA funds on, and these remain in effect. Personal Protective Equipment (PPE) with the “primary purpose of preventing the spread” of COVID-19 – such as face masks, gloves and hand sanitizer – became eligible be paid or reimbursed through the FSA, as did COVID-19 home tests.