Flexible Spending Account Strategies for Tough Economic Times

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Bravo, you were visited with an excellent idea

LeraJenkins of AL 5:44PM June 21, 2009

I was downsized out of my job in mid February. The balance in my FSA account is roughly $100. I've been advised by the HR staff that I CANNOT file claims for reimbursement of the $100. My employer's comments were: "this sounds like adding insult to injury, but you don't have access to the FSA funds any longer, and we get to keep it".
How is it possible that my contributions cannot be accessed by me to for qualified expenses, and that the employer, who HAS NOT contributed to the fund, gets to keep my cash?

Joanne of IL 2:36PM May 07, 2009

Peter of CA.... You're kidding, right? Dental therapists are just as well trained and qualified as a dentist. Hardly! Dental therapists are supposed to be used in dentist shortage areas.
A dental therapist is a high school graduate with a diploma from a 2 year program, as opposed to a denist who is a college graduate with a doctorate degree from a dental school then possibly 1-3 years in additional training.
You get what you pay for. If you have a problem, I'm sure the therapist will send you to a more experienced professional - a dentist.

RM of MT 11:01AM March 15, 2009

I had a short timeframe after I was laid off to file claims for FSA, rather than prior to my last day as stated in the article. It could be because my coverage was carried through the end of the month even though my last work day preceded termination of benefits. This was a big win for us as we had just started contributions a few months earlier towards a fairly large target based on anticipated expenses, which we had incurred immediately.
So, the other tip is that regardless of your statues, if you can anticipate large expenditures early in the year, you get a cashflow advantage. Basically you are borrowing from the FSA.
Also, there are a wide array of everyday items that qualify for FSA reimbursement, from tampons to asprin. If your plan offers a FSA credit/debit card, it's really easy to shop for qualifying items at your local drug store.

Mark of FL 8:59AM March 12, 2009

Dental care in Canada costs a fraction of what it costs in the U.S. because the Candadians utilize DENTAL THERAPISTS for most dental work, instead of doctoral level dentists. DENTAL THERAPISTS are just as well trained and qualified but cost 1/3 what dentists in the U.S. charge!

Peter of CA 6:23PM March 11, 2009

Good article with accurate information. Many small businesses do not offer this benefit to their employees because of the cost to the employer.
We offer FSA plan administration specifically for small businesses so that there is no additional cost to the employer.
Feel free to contact us if you would like additional details and references.

Keith of CT 6:04PM March 11, 2009