The Chicago Tribune ran an article about the changes to Flexible Spending Accounts due to the Health Care legislation. The biggest deal is that next year, we will not be allowed to submit over-the-counter drugs for reimbursement without a doctor’s prescription. They printed a decent Q&A:
Will I be able to use FSA money for:
Over-the-counter medicines without a prescription? No.
Medical co-pays and deductibles? Yes.
Medical supplies without a prescription? Yes.
OTC medications without a prescription purchased in 2010 but not reimbursed until 2011? Yes.
OTC medications without a prescription purchased in 2011 during my 2010 FSA’s “grace period”? No.
The point of the article was that FSAs are still a good deal. We just need to understand the new rules when we sign up next time around.