Flexible spending accounts become less so

Just read a helpful article by Gregory Karp about changes in FSA accounts for 2011. The highlights: You won’t be able to get FSA reimbursements for over-the-counter medications like pain relievers. Well, you CAN, but you’ll have to get a prescription from your doctor recommending the OTC med, and you’ll have to provide both the prescrip and the receipt to your FSA plan for reimbursement. Who wants to hassle with that just to get repaid for some Tylenol?

You WILL be able to still use your FSA for OTC “equipment” which I guess include bandages and contact lens solutions. Thank goodness for that! Lens solution is expensive!

The other big change coming in 2013:  You’ll only be able to put a max of $2,500 in your health FSA–half of today’s limit. Annoying, but good to know.