Five Creative Ways to Spend Your FSA Account Before the End of the Year
If you have a Flexible Spending Account (FSA), you know the rules: use the funds before the end of the year, or you lose them. Unfortunately, the chances of filling the rest of the year with doctor’s appointments are slim. Does that mean your hard-earned money will go to waste? Definitely not. You can use the remaining FSA funds for other eligible medical expenses. And what’s considered “eligible” may surprise you—for example, you could use FSA or HSA funds to buy yourself a new fitness tracker or smartwatch .
As the end of the year approaches, here are all the ways you can spend the remaining money in your FSA balance.
Use your FSA funds to purchase over-the-counter medications.
Many over-the-counter medications and health products are eligible for FSA coverage, including pain relievers, cold medicine, bandages, dental care, menstrual hygiene products, and more. Review your medicine cabinet and make a list of everything you need to refill.
Spend funds from your FSA account on a smartwatch.
It is possible to use FSA/HSA funds to purchase smartwatches and other fitness trackers, but the main catch (as I explained earlier ) is proving the need for the device, which requires obtaining a Letter of Medical Necessity (LMN).
Screenless fitness trackers like the Whoop , Amazfit Helio Strap , and Oura Ring are typically eligible for HSA/FSA savings accounts based on sleep quality, heart rate variability-based stress monitoring, or chronic disease recovery tracking. Similarly, smartwatches can meet these criteria if you can link them to a relevant, documented health issue. For example, Coros offers HSA/FSA savings account eligibility for all of its watches and heart rate monitors through a partnership with Truemed. Amazfit also allows you to filter results by HSA/FSA eligibility for its smartwatches .
Update your medicine cabinet with unexpectedly useful items.
If you’re feeling creative, you can filter products by “unexpectedly suitable” in the official FSA store . As in the previous section, for some products, you’ll need to clarify how to obtain FSA-approved certification from a licensed medical professional . In the meantime, feel free to purchase Epsom salts for $8.99, Supergoop! sunscreen for $38, or, for example, a stylish massage gun for $349.99.
Prevent the development of chronic diseases.
Knee braces, wrist braces, compression socks, and other orthopedic devices can help relieve chronic pain. Instead of waiting for these problems to arise later, use your FSA funds to offset the cost of these items now. If you wear glasses or contact lenses, consider using your FSA funds to renew or adjust your prescription. Don’t forget to stock up on eye drops and contact lens solution, too.
Advance payment for scheduled procedures
If you have medical procedures scheduled for early next year, many healthcare providers will allow you to prepay for anticipated expenses this calendar year using your FSA (Foundation of Account) funds. This includes dental work, physical therapy, chiropractic visits, laser vision correction, and more.
Result
However you choose to spend your FSA account funds, don’t let them go to waste. After all, they were deducted from your paycheck. Check your employer’s rules regarding the balance on December 31st of this year to avoid losing your hard-earned money. A full list can be found in the FSA store here .