Ways To Flex Your Medical Spending Account Dollars

Tuesday, March 1, 2005

& HAPPINESS WaysTo Flex Your Medical Spending AccountDollars (NAPSA)—If you havea flexible spending account where you work, you’re not alone. These accounts have become a popular tax-smart way for millionsof eligible workers to pay for some routine medical expenses, as well as doctor and hospitalvisits. Flexible spending accounts allow employees to set aside a certain amount of each paycheck into an account—in pretax dollars. During the year, participants have access to this account for reimbursement of medical expenses not covered by insurance, such as health insurance co-pays or necessary medical products. As helpful as these accounts are, they have one big drawback: the “use-it-or-lose-it” requirement. This means that once the annual deadline expires, money left in the accounts is forfeited to the employer. Surprisingly, participants give back millions every year. That’s why it makes good sense for people who participate in these accounts to plan ahead and think strategically about how they use these dollars especially now. As the end of the year approaches, participants search for ways to use their dollars instead of forfeiting them and too often participants feel without options. Kevin McCallum, a senior vice president with 1-800 Contacts, notes that medical spending account participants can make good use of their funds by purchasing long-term supplies of certain medical products, such as contact lenses. “On average, employees typieally surrender more than $100 each year in flexible medical 7 @oC Ae | 8 2a( Tal

--- PHOTOS ---

File: 20190816-172938-20190816-172937-66177.pdf.jpg

--- FILES ---

File: 20190816-172937-66177.pdf