Nearly 70% of FSA users have a December 31 deadline and more than $3 billion in unused FSA funds are forfeited each year to this missed deadline
DALLAS, Dec. 19, 2024 /PRNewswire-PRWeb/ -- Time is running out for more than 35 million Americans who are enrolled in flexible spending accounts (FSAs) and must spend their remaining funds before the December 31 use-it-or-lose-it deadline. To help consumers avoid losing their tax-free funds, FSA Store®, the first and leading online store dedicated exclusively to selling FSA-eligible products and services, is sharing 10 fast, high-value ways to spend FSA funds in the next 10 days.
"According to FSA users who shop FSA Store, nearly 70% of account holders have a December 31 FSA deadline. Meanwhile, industry trends show that nearly half of FSA users will fail to spend all of their funds by this date, which can result in a forfeiture," said Rachel Rouleau, chief compliance officer for Health-E Commerce®, parent brand to FSA Store. "By educating consumers about the deadline and making it easy for them to spend their tax-free funds with zero guesswork, our team is working to change this trend and help all account holders benefit better from these accounts."
To avoid forfeiting FSA funds, FSA Store recommends checking your account balance and considering the following 10 ways to spend FSA dollars before December 31.
10 Days, 10 Ways to Spend FSA Funds to Avoid Forfeiture:
1. Shop by budget. Use the all-new FSA deadline spending tool to spend FSA dollars. Simply enter your available budget and select categories that interest you or search for favorite brands and products, and the FSA Store deadline spending tool will recommend a list of eligible items that fit within your budget. As items are placed in the shopping cart, the remaining available budget is adjusted, ensuring that users don't exceed the amount they wish to spend.
2. Give the gift of good health. FSA users can spend tax-free funds on products and services for their eligible dependents and family members. For example, the Dr Dennis Gross SpectraLight FaceWare Pro Mask to help a child or teen treat acne, or a Whoop Wearable Health & Activity Tracker or Oura Ring to help their spouse manage and track their sleep and activity levels.
3. Treat specific conditions. Whether you have a chronic condition like arthritis, high blood pressure or diabetes, or if you currently experience pain, FSA funds can help. FSA Store allows you to search for eligible products for these and many other common health needs, including cold and virus, acne and even heartburn.
4. Save time with FSA Store bundles. FSA Store offers convenient, time-saving bundles that feature a curated selection of products for specific needs, preferences, and budgets. Popular bundles include the Kids' Essentials Bundle, Skincare Favorites Bundle, High-Tech Pain Relief Bundle, Workout Essentials Bundle, Cold and Flu Bundle, and more.
5. Shop your favorite brands. Have a favorite brand of pain relievers, sunscreen, bandaids, or medicated face soap? Visit FSA Store to shop for eligible items from top brands like Supergoop!, Tylenol, Therabody, La Roche-Posay, Peter Thomas Roth, Welly, Willow, KT Tape, and more. You can even upgrade your vision care with designer prescription eye glasses, contact lenses, and supplies.
6. Restock the medicine cabinet. Whether it's buying a new first-aid kit, thermometer, blood pressure monitor, or even emergency medication, FSA funds can be used to update your medicine cabinet and to prepare for cold and flu season, injuries, burns and daily aches and pains.
7. Subscribe to telehealth services. Get a head start on new year's health goals by subscribing to telehealth services available at FSA Store to manage mental health, treat erectile dysfunction, achieve fertility and a healthy pregnancy, treat menopause symptoms, lose weight, and more.
8. Care for your growing family. From pregnancy and fertility testing to baby health monitors and breast milk storage, an FSA is a great way to care for your growing family. Beyond newborns, FSA funds can be used to support the health needs of dependent children of all ages, even college-aged kids.
9. Boost your self-care routine. Self care means different things to different people, which is why the flexibility of an FSA is so beneficial in supporting self-care routines for things like mental health, sleep, muscle pain, foot fatigue or orthopedic conditions, hydration and much more.
10. Shop surprisingly eligible items. FSA Store features over 2,500 eligible FSA items, many of which will surprise the average account holder. There are so many surprisingly eligible items, FSA Store has even created a special shopping category for these products.
Deadline Reminders. In addition to understanding how FSA funds can be used, consumers should understand and remember these deadline facts in the coming weeks:
- While December 31 is the most common spending deadline for FSAs, this deadline can vary based on an organization's plan year. Account holders should log in to their FSA portal, if available, to verify their deadline, or check with their employer or FSA administrator.
- An employer may offer an FSA deadline extension, such as a partial rollover of unused funds; a grace period (2.5 months after your plan year end date; typically March 15); and/or a run-out period. These extensions are completely optional. Check on your FSA portal or with your employer, your benefits team, or FSA administrator to confirm availability of these options.
About Health-E Commerce
Health-E Commerce is the parent brand to FSA Store and HSA Store, online stores that serve the 70+ million consumers enrolled in pre-tax health and wellness accounts. The company also created Caring Mill™, a popular private-label line of health products through which a portion of every purchase is donated to the Children's Health Fund. Since 2010, the Health-E Commerce brands have led the direct-to-consumer e-commerce market for exclusively pre-tax health and wellness benefits. Health-E Commerce plays an essential role in expanding product eligibility for important new categories within the list of eligible medical expenses.
Media Contact
Barbara Tabor, FSA Store, 651-230-9192, [email protected], FSAstore.com
SOURCE FSA Store; FSA Store
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