Now that life is getting back to normal after the winter holidays, it’s time for flexible spending account (FSA) participants to think about budgeting for medical expenses in 2020. You’ve already allocated money for your FSA for health care costs, so the next step is to make a budget to avoid the last-minute rush to spend any “use-it-or-lose-it” funds come December.
Stay on track with our FSA calendar and make better health care spending choices throughout the year.
January/February
At the start of your new plan year, you should check to see if you have FSA funds from last year that your employer may have allowed you to roll over. If you do, you should try to spend these rollover funds first. Some employers also offer a grace period, allowing employees to have a little more time in the new year to spend last year’s funds. The IRS set a max grace period of up to 2.5 months into the new plan year (March 15) to spend remaining FSA dollars or submit reimbursements for qualified health care expenses, but employers can set their own time limits that may be shorter. Keep in mind that employers can offer a rollover or grace period, but not both.
You may want to think about scheduling your annual physical, preventive care screenings, dental cleanings, eye exams, women’s wellness visits (if applicable), and any other annual medical appointments in January and February, so you can use your remaining FSA funds for co-pays.
March
For parents of school-aged kids, March is the beginning of spring sports season, so you can use FSA funds for sports physicals. Many institutions like pharmacies, schools, and primary care providers will hold sports physical clinics, so kids can get checked and approved to participate in youth athletics. In addition, it might be a good time to stock up on eligible first aid items/athletic treatments.
April
As spring flowers begin blossoming and many parts of the U.S. experience rainy weather in April, it’s likely that you could experience seasonal allergies. There are many over-the-counter allergy medications and nasal sprays/rinsing products to help reduce allergy symptoms such as sniffling, sneezing, dry eyes, and sinus headaches.
May
In May we celebrate Mother’s Day and promote women’s health. If you didn’t schedule your women’s wellness visit in the beginning of the year, now is a great time to make an appointment with your OBGYN, using your FSA to cover co-pays and any related costs.
For anyone planning to start a family or those who are expecting, you can use FSA funds for things like fertility tests and treatments, prenatal appointments, ultrasounds, birth classes, and more. New moms can purchase supplies like breast pumps, baby monitors, thermometers, diaper rash ointments, and hundreds of other qualified items and services. Check our family planning and motherhood FSA savings blog for a more detailed list of eligible expenses.
June/July
When summer begins, you can use your FSA funds to stock up on items like sunscreen, prescription sunglasses, aloe vera for sunburn relief, and itch-relief cream for pesky poison ivy. Before you leave for your beach vacation or any weekend camping or hiking trips, review our summer FSA items blog for a complete list of eligible expenses that may come in handy throughout the season.
August
As summer vacation winds down and the school year starts up again, you can buy FSA-eligible back-to-school items in the FSA Store. Help your kids prepare for a new school year stocked with the health care supplies they may need for picture day, playground scrapes, and school bus rides with things like acne treatments, first aid kits, motion sickness bracelets, and more.
September
In September, many organizations recognize pain awareness month and alternative approaches to pain management. Did you know that you can spend FSA dollars on holistic health treatments such as acupuncture and chiropractic adjustments (with a letter of medical necessity, in some cases), and pain-relief products like acupressure mats? If you struggle with chronic pain or are curious about holistic wellness, check our blog about FSA-eligible alternative health treatments.
October
October is mental health awareness month, and according to the National Alliance on Mental Illness (NAMI), one in five American adults experiences a mental health condition. You can use FSA funds to offset the cost of counseling services and prescriptions. You can learn more about what types of treatments are covered in our blog in FSA funds for mental health.
November
With the start of the winter season, you may want to use remaining FSA funds to pay for cold and flu prevention and treatments. Pay for your flu shot with FSA dollars or buy eligible
over-the-counter cold and flu medications available in the FSA store.
December
Already December?! Check your FSA balance to see what you have left for the plan year. If you have a lot of money remaining in your account, find out if your employer offers rollover or a grace period. If not, check the FSA store for some big budget health-related items you might buy or even give as a gift!
Be creative, and you’ll find ways to spend down those hard-earned, tax-free FSA funds easily. Simplify things by keeping a list of eligible FSA medical expenses on hand when you shop and plan medical appointments. Happy health care spending!
Don’t wait until you’re down for the count.
Spend those FSA dollars wisely and stock up now through the CYC Marketplace!
