Your Piggy Bank And The FSA Dollars
Cash out your FSA Dollars in your Piggy Bank. Use the FSA/HSA dollars now. Also, it is a tax break for you as well. Who could not benefit from a tax break? Most people can use one due to the current economic conditions in 2022. There are approximately 44 days left in the 2022 year. Therefore, spend your 2022 FSA and HSA dollars now. For most FSA accounts you have to “use or lose it”. An FSA can be a lifesaver for many people. Employees use pre-tax dollars that are not taxable. You can use FSA dollars to pay for eligible items out-of-pocket vision expenses, medical, and dental.
In 2022, if you have money left over in your account, up to $610, you can carry over into 2023. That’s up from $570 in 2022. It is important to know that your employer is not required to allow you to carry over funds at the end of the year. You must check and confirm with your employer. The amount you can contribute in 2023 is $3.050. due to inflation.
The Three Types Of FSA Accounts Are:
- Health FSA is the most common type of FSA, also known as a Medical FSA, and covers out-of-pocket expenses with pre-tax dollars.
- Dependent Care FSA allows employees to pay for employment-related dependent care while adopting a child. The expenses are covered under Health FSA (Source: SA Store).
- Adoption FSA allows employees to set aside pre-tax money to use on adoption expenses.
1. Eye Exams
The cost to cover a visit to the optometrist’s office for an eye exam is FSA-eligible. A standard eye exam will consist of vision tests to check close and distant vision, Tonometry to test for glaucoma, and a thorough exam of the inner eye after the pupils have been dilated. Most eye exams will only take an hour or more to complete, which provides enough time for the exam to be fitted for a prescription vision correction method if necessary.
2. Eye Drops (OTC)
OTC eye drops are saline solutions that can provide quick relief from eye irritation and dry eyes.
3. Eye Surgery
Eye surgery that is necessary to correct vision loss is FSA-eligible. Therefore, if you or a loved one needs corrective surgery as the result of a vision problem or a recent injury. These procedures fall within the plan coverage. Also, vision correction surgeries such as LASIK are FSA-eligible. Your doctor can treat common vision issues such as presbyopia (poor far-sighted vision) and myopia (poor nearsighted vision) in a single doctor’s office visit.
- Eyeglasses / Frames
If you wear glasses, an FSA can help you save hundreds each year on the frames, lenses, and accessories you need to see clearly. Both reading and prescription eyeglasses are FSA eligible, as well as eyeglass repair kits, cleaning cloths, and sprays to help you prolong the life span and efficacy of your vision correction methods.
- Contact Lenses
Contact lens wearers must support their vision correction methods with a rigorous cleaning and maintenance regimen. Contact lenses, lens solutions, and carrying cases are daily mainstays for contact lens wearers, but luckily all of these products are FSA-eligible as well. This can help contact wearers save hundreds each year on the products they use every day.
Eye Care And Care Accessories
Eyeglass accessories are items used for prescription eyeglasses or prescription sunglasses. And therefore must be used for the adaptation, maintenance, or repair of prescription eyeglasses or sunglasses. Cosmetic, non-prescription eyeglasses or sunglasses are not eligible for reimbursement. However, eyeglass accessories that help maintain eyeglasses include
- Lens cloths
- Lens cleaning solutions
- Eyeglass protection solutions.
- Repair kits
- Eyeglass Cords
- Screwdriver kits
- Replacement nose pads
- Temple pads
Eye Care Items Not Covered Under FSA
Sunglasses are only eligible for reimbursement with an FSA if they contain prescription lenses. Nonprescription sunglasses do not assist with vision correction, therefore they are not eligible for FSA reimbursement.
- Blue Light Blocking Glasses
Blue light-blocking glasses are usually not FSA-eligible. However, your provider may reimburse you for a portion, or all of the cost if you need them for treatment of a medical condition.
FSA Rules 2022:
The rules regarding an FSA account may vary depending on your employer. You must contact your benefits administrator to confirm what is covered:
- 2022 carries over to 2023. Employees may be able to carry over all of their unused health funds from 2022 to 2023 (Per IRS)
- During the pandemic, employers were allowed to offer more flexibility, an employer could allow a 2 ½-month grace period to incur health expenses, which usually runs from January 1 to March 15 of the following year
- Pairs of prescription eyeglasses and sunglasses that are allowed per year
Contact us to schedule an exam and discuss what items your FSA dollars will cover.