You may contribute up to $2,750 in 2020 to the Health Care FSA. The IRS maintains a list of eligible expenses. Some expenses eligible for reimbursement through a Health Care FSA include:
- Coinsurance not covered by your health plan
- Prescription drugs
- Over-the-counter medications
- Durable medical equipment, such as wheelchairs
- Eyeglasses/Contact lenses
Up to $500 in unused health care FSA contributions will automatically be carried over to the next calendar year and can be applied to eligible expenses in that year. The carryover amount does not require an election amount or any payroll deduction and will be deposited into your health care FSA on May 15 every year. Claims will first be paid from the current plan year’s balance and then deducted from any carryover amounts.