If you have a flexible spending account through work, there's a decent chance you're sitting on a few hundred dollars that will evaporate if you don't spend it soon.
Most plan years wrap up on December 31, and the use-it-or-lose-it rule is unforgiving.
Unlike a health savings account, which lets balances grow year after year, an FSA generally sends whatever is left back to your employer once the clock runs out.
The tricky part is that not every plan follows the same calendar.
Some employers offer a grace period that pushes your deadline to March 15.
Others allow a carryover of a limited amount into the next year.
And a few offer neither, meaning midnight on December 31 is a hard stop.
The only way to know which rules apply to you is to log into your benefits portal or call your HR department directly.
Eligible expenses cover more than most people realize.
Prescription glasses and contact lenses count, including the exam itself.
Dental work, from cleanings to fillings, typically qualifies.
So do bandages, thermometers, sunscreen, acne treatments, and a long list of over-the-counter medicines that became eligible again after federal rules changed a few years back.
If you're scrambling, a few practical moves can help.
Book that dental cleaning or eye exam before the year ends.
Stock up on contact lens solution, first aid supplies, and pain relievers you'll actually use.
Some plans even reimburse mileage driven for medical care, so dig through your records for appointments you've already attended.
One warning worth repeating: don't buy random stuff just to burn the balance.
You can only submit expenses you genuinely incurred, and claims get reviewed.
Buying a case of vitamins you'll never take is a waste of your own money once you factor in the taxes and fees you already paid in.
Even if you swipe your FSA card on December 30, the service still has to be provided by your plan's deadline.
A dentist appointment scheduled for January won't count against last year's account, even if you paid the deposit early.
Read the fine print on your plan's date-of-service rule.
The bigger picture is that this deadline is landing right when households are already stretched.
Grocery bills remain stubbornly high, rent keeps climbing in most metros, and credit card rates are hovering near record levels.
Wasting pre-tax dollars you set aside months ago is a small leak, but leaks add up when every other line item is squeezing your budget.
If you have money left, treat this week like a scavenger hunt through your own medicine cabinet and calendar.
That balance is already yours. **Our take:** An FSA is one of the few places where procrastination has a real price tag attached.
Final Thoughts
Spending fifteen minutes checking your balance and booking one appointment beats watching that money quietly disappear.