The year is drawing to a close, and we’re guessing that the last thing on your mind in the flurry of hectic holiday happenings is the money that may be just sitting in your FSA. Just like most insurance benefits, though, FSA money expires at the end of the year! Unless you take action and have cleanings or treatments done before the end of the year, that money might just go to waste. Today, we’ll look at what FSAs are, how they differ from their counterpart the HSA, what sorts of dental expenses you can spend FSA money on, and how best to maximize those benefits so that your money doesn’t get wasted this holiday season.  

What is an FSA? 

An FSA is a flexible spending account. It allows you to deposit pre-tax dollars into the account and pay out of that account for certain approved medical and dental expenses. An important thing to note about an FSA, however, is that the money expires at the end of the year. Sometimes, employers offer a grace period, but ultimately, the money will return to the employer if unused.

FSAs, HSAs, and the End of the Year 

FSAs are often mixed up with a similar account known as an HSA, or a health savings account. Like FSAs, health savings accounts allow you to deposit pre-tax dollars and use that money to pay for certain medical and dental expenses that your insurance might not cover. There are some differences, however. For instance, HSAs do not expire at the end of the year. The money stored in a health savings account will roll over if you don’t use it all. There are also other differences between an HSA and an FSA such as ownership (you vs. your employer), investing potential, and contribution limits.

  

These differences mean that it’s important to know what kind of account you have. If you don’t have either, then that’s not relevant. But if you do have an HSA or FSA account, then it’s crucial to pay attention to the difference between the two, because you could lose money if you don’t. Remember, HSAs keep their funds. HSAs roll over. FSAs do not keep their funds. They will expire if unused by the end of the year. This means that if you have money stored in an FSA account, now, as the year is ending, is time to use it!  

What is covered by an FSA? 

If you’re remembering right now that you have an FSA and there might be money just lying around in it, then you may be wondering what that money can do! As we mentioned, there are limits to what your FSA can pay for. If you want to get your teeth whitened, for instance, that will be out of pocket. Cosmetic procedures aren’t covered. But generally speaking, “anything that treats or prevents a dental disease is eligible for FSA coverage.”

This would include: 

• Teeth cleaning 
• Fillings and sealants 
• Crowns 
• Bonding 
• Dentures 
• Tooth extraction 
• Inlays and onlays  
• All diagnostic and preventative services 

• Treatments for gingivitis, temporomandibular joint syndrome and disorder, gum recession, and necessary oral surgery 

If you have a question about whether something is eligible for FSA coverage or not, speak to your plan provider.  

Maximizing Your Benefits 

We hope that you better understand how FSAs can help with dental expenses, as well as the importance of using up those funds before they expire! A few tips to keep in mind as the year winds down: 

• Escape the price hikes. Insurance companies have to keep up with rising prices, too. Often, fee increases by insurance companies come at the beginning of the year. This is just another reason why the perfect time to use up your HSA, FSA, or dental insurance benefits would be the end of the year—before these price hikes take effect.
• Let us work with you. You may hesitate to pile on treatments at the end of the year, thinking that you’re getting close to your annual insurance maximum. Even if that’s the case, we can work with you! We want you to get the most out of your insurance. We can create a plan to split the treatment between the end of this year and next, taking advantage of the renewal of benefits next year to use your insurance to its fullest potential.  
• Say no to waste! It’s easy to get distracted with all the plates you need to keep spinning during the holiday season. Maybe you meant to have a treatment done, but then go to schedule it and realize your calendar is simply booked! But nobody wants their money to go to waste just because of a lack of planning. To avoid either your calendar or ours filling up before we can fit you in, schedule your appointments as early as you can for this time of year. For similar reasons, we encourage you to try to keep any appointments you may have during the end of the year; it may not be easy to get another one before the new year.  

The end of the year is often a busy time filled with get-togethers, gifts, and a flurry of preparations to reset for the new year. But make the most of your money: don’t let your FSA funds slip through the crack. Call our office today to schedule your appointment before the year’s end.

Happy holidays from our Bloomingdale Dentistry team!