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If you still have money in your flexible spending account, be aware that you may have only another week or so to spend it.
Congressional action loosened FSA rules for 2020 and 2021 as a way to give workers more time to spend unused funds, yet many companies did not adopt the temporary changes. This means you could face a Dec. 31 deadline to use any remaining money or lose it.
If you’re unsure, “figure out what your plan specifically is doing or not doing,” said Preston Farrington, CEO of Health-E Commerce, parent company of FSAstore.com.
“See if you received any emails from your benefits provider or your employer,” Farrington said. “Or you can check your [online] benefits portal or with your HR department.”
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FSAs let workers stash away pre-tax money for qualifying medical or dependent-care expenses. Roughly 43% of workers at private employers have access to FSAs, both for health care and dependent care, according to the Bureau of Labor Statistics.
In typical years, any unused money in your FSA at the end of the plan year is forfeited unless your employer gives you a 2.5-month grace period to spend the money. For health-care FSAs only, some employers allow you to carry over a certain amount (up to $550 for 2021) into the next year.
The temporary…
