Please help me spend my extra flexible spending account money!

October 14, 2008 8:01 PM

I have about $600 left in my PayFlex medical spending account that I must spend by the end of the year. I'm not sick so no trips to the doctor planned. I was looking for ideas for items to purchase with my payflex money and then resell perhaps on ebay. Thanks! Any suggestions would be appreciated!
posted by Jackie_Treehorn to work & money (25 answers total)

eyeglasses (frames)?
posted by availablelight at 8:12 PM on October 14, 2008

Drugstore.com has a flexible spending account store that might give you some ideas.
posted by ALongDecember at 8:12 PM on October 14, 2008

Allergy medicine.
posted by Blazecock Pileon at 8:13 PM on October 14, 2008

Can you purchase OTC medications with it? Because if I were you I'd buy as much cold-and-flu medicine, aspirin, advil, tylenol, benadryl, etc. etc. etc. as I could. Most of it doesn't go bad for five years or so.
posted by fuzzbean at 8:18 PM on October 14, 2008

Buy stuff for a first aid kit for your car, your home... etc?
posted by Verdandi at 8:21 PM on October 14, 2008

Allergy medicine

Purchasing $600 worth of allergy medicine is sure to raise some meth lab suspicions. Good luck with that. Selling what you purchased with your flex account also may raise suspicions. People have actually been caught running scams like that.

Get yourself some nice new glasses and a pair of prescription sunglasses.
posted by Pollomacho at 8:24 PM on October 14, 2008

Heck, if you need glasses, why not just get some lasic done? I had the same problem last year with having left over money in flex spending, so while I don't have any solutions, I am interested in some good solutions (although stocking up on benedryl would be awesome).
posted by Sassyfras at 8:31 PM on October 14, 2008

I'm in the same position, but I wouldn't feel comfortable selling what I purchased. Here are some ideas for items that you might be able to use yourself (check with your account administrator to make sure they are reimbursable under your particular plan):

1. If you wear contact lenses, buy a new pair. If you wear the kind that you change daily, as I do, get two years' worth. I had to talk my eye doctor into this, but she was game once I told her my situation.

2. sunscreen.

3. acne products (mine covers over-the-counter benzoyl peroxide, glycolic acid, proactiv, etc).

4. condoms!

5. immunizations. If you are planning a trip to a foreign country any time in the future, you might look into which are recommended. I needed Hep A and B shots for a trip to China, my insurance didn't cover them, and they were expensive!

6. laser eye surgery.

Remember that your spouse and dependents are covered, as well.

Good luck!
posted by pizzazz at 8:45 PM on October 14, 2008

Are you sure it has to be spent by the end of the year? Some employers allow you to spend this year's money on expenses incurred by the end of March 2009. If you haven't checked that out, you might want to see if it's true for you.
posted by cabingirl at 8:49 PM on October 14, 2008

There's no reason you couldn't just return what you bought to the store after sending in the receipt in for your medical spending account, and avoid eBay completely.

If it was me, I'd find some high price reimbursable item at Costco, and buy as many as I needed to max out the account.

IANAL, but you do know of course, if you do this it may be illegal, and for tax purposes you should declare the extra $600 as taxable income as you didn't use it for its intended purpose. Not that it's likely anyone at the IRS would catch this.
posted by ShooBoo at 9:03 PM on October 14, 2008 [2 favorites]

I was in a similar situation when I quit my last job. I ended up getting both a new pair of glasses and a pair of prescription sunglasses with polarizing lenses
posted by nathan_teske at 9:13 PM on October 14, 2008

1. People are going to be skeptical about buying vitamins, cold medicine and first aid supplies from some random person on ebay.
2. People who are willing to buy stuff like this from a stranger on the internet will be looking for a really good deal.
3. By selling the stuff you buy using your flex account money, you will not be turning a profit, in fact, you will be losing money.
posted by pluckysparrow at 9:19 PM on October 14, 2008

I think you can buy HEPA air filters and pay for it with your FSA. (Not sure if you need documentation; I haven't myself bought one this way but several of my colleagues who had big surpluses that they needed to burn did. I think they just sent the receipts in for reimbursement, no fuss at all.)

Those resell pretty easily if they're new-in-box. Heck, wait until the spring to sell and you might be able to cut a profit if you can find a really nice one on sale now.
posted by Kadin2048 at 9:31 PM on October 14, 2008

Courtesy of a U.S. Treasury directive back in 2005, your employer has the option of extending the period by 10 weeks, giving you until mid-March to spend your funds, so you may want to double-check that the end of the year is indeed your deadline.

You can spend flex plan funds on deductibles and co-payments, dental work, orthodontia, eyeglasses, contact lenses, prescription sunglasses, laser eye surgery, psychotherapy, psychiatry, psychology, drug and alcohol treatment, smoking cessation programs and prescriptions, medically necessary cosmetic surgery, massage therapy to treat an injury, physical therapy, speech therapy, out-of-pocket expenses for fertility treatments, chiropractic care, doctor-recommended weight-loss programs, hearing aids and batteries, medical equipment, such as wheelchairs, crutches or oxygen equipment, assistance for the disabled, including guides, braille books, seeing-eye or hearing-trained animals, note takers, etc., birth control pills, devices and procedures, acupuncture or related procedures to treat a medical condition, medically necessary prescriptions, vaccinations, and medications that don't require a prescription (such as allergy and cold medications, antacids and pain relievers).
posted by WCityMike at 9:36 PM on October 14, 2008 [1 favorite]

Even if you're not planning, has it been more than 6 months since you saw a dentist? A quick dental cleaning might help make a dent, or if you have any old silver/mercury fillings you'd like replaced with better looking ceramic fillings, now could be the time.
posted by fings at 9:39 PM on October 14, 2008

Do you take any regular prescriptions? I use my health insurance provider's mail-in pharmacy, which provides a three-month's supply at a time. If you switch to that, a three-month's supply might cost some cash, and you wouldn't be buying anything unnecessary.
posted by radioamy at 10:13 PM on October 14, 2008

Don't know about resale, but a possible (and awesome) use of a massive amount of left-over flex-spending is a massage chair. A friend of mine bought theirs this way.
posted by zippy at 10:15 PM on October 14, 2008

If you're female, and not looking to get pregnant, getting an IUD will a) spend a sizeable chunk of that cash and b) make you wonder why you never got one before.
posted by samthemander at 10:31 PM on October 14, 2008

Teeth Whitening stuff
posted by BrnP84 at 10:34 PM on October 14, 2008

Maybe you can find someone who is short in available medical funds for a condition who can use the help. By them the stuff they need.
posted by Neiltupper at 10:49 PM on October 14, 2008 [4 favorites]

Elaborating on Neiltupper. One particularly expensive need is adult diapers. You would be an anonymous hero if you were to purchase Poise pads and/or Depends in bulk and donate them to a local homeless shelter or nursing home. These items are expensive but shouldn't be a luxury for people on very limited incomes.
posted by chesty_a_arthur at 7:32 AM on October 15, 2008 [1 favorite]

This kind of account does not let you buy products to donate to homeless shelters. You can only use it to pay for expenses for yourself, your dependents, or immediate family members. The rules are all in this pdf from the IRS. The same document also specifies that you need to pay taxes if you sell the stuff you get reimbursed for. Please spend this money on something that actually qualifies for the plan and that you or your family actually need. Asking MetaFilter for help doing illegal stuff is not ok, even if your illegal plan is "just" tax fraud.
posted by vytae at 7:43 AM on October 15, 2008

Thanks for the clarification, vytae. Can't speak for anyone else but I have to plead ignorance, not a lack of appreciation for the seriousness of tax fraud.
posted by chesty_a_arthur at 8:24 AM on October 15, 2008

Speaking as someone who uses every cent in their FSA account every year, and who values the opportunity greatly (and would be in very bad shape if this did not exist and the laws were changed because of unscrupulous people), I will not advise on what you can resell on ebay.

(No one is going to buy any of the things here anyway. Would you? I mean, seriously, condoms? You're going to buy CONDOMS on ebay? no really.)

What is legal to do is to "deposit" your FSA money in the account of a provider, and then actually use it when you can. I know that many, many eye glass providers in NYC advertise this towards the end of the year, when people are panicking about not having used their flexspend money. try that.

Go through every receipt you have - aspirin, tylenol, advil, eye drops - it's amazing what classifies as FSA-eligible. (However, when I broke my foot last year, the cane I bought to get around was NOT FSA-eligible, so go figure.) I think you will be able to retroactively come up with enough expenses to get some of your money back.

keep in mind that you can buy in mass quantities and put away for later. We do that with advil and other typical OTC remedies. a first aid kit for home and car is an excellent idea.

You should always underbudget your FSA expenses.
posted by micawber at 1:04 PM on October 15, 2008

Last time I worried about using about my fund, I ended up using it up for medical care just a few weeks later. So I wouldn't use it up too early. Also check your insurance's plan list of approved expenses. It may help you think through things. If you are managing a condition, with doctor's approval there's nutritionist, massage therapy, etc.
posted by ejaned8 at 1:11 PM on October 15, 2008