Flexible Spending Accounts:
No Appointment Necessary

Aired on Lifetime Television
Sunday, August 6 and November 26, 2006

Show 321

If you have health insurance through your employer, then you may want to think about opening an FSA—a flexible spending account. Here's how a Healthcare FSA works. You decide how much money to automatically deduct from your paycheck. The money you save is not taxed, and it goes into an account managed by your insurance company, that only you can access. When you have a medical expense not covered by your insurance, pay for it on your own, then submit receipts and you'll be reimbursed with the money saved in your FSA. Not all out-of-pocket expenses are covered, so be sure to check with your insurance company first. Reimbursable expenses include medical and dental deductibles and co-payments, eye glasses and contact lenses; prescription drug co-payments; and some over-the-counter healthcare products you use every day. Things like contact lens solutions, pain relievers, antacids, cold and flu remedies, bandages, antiseptics, and many others are a great way to spend your FSA dollars. They're products you're already paying for. So with a health care FSA, you buy them and save money at the same time.