Out-of-pocket medical expenses can be an unexpected and hefty burden on you and your family. This is why more people are looking to invest in a Flexible Spending Account, also known as an FSA.
As a special account dedicated to medical expenses, it can be essential in emergent situations. Now, if you have money left over in your FSA and no medical bills in sight, you may be faced with finding other accepted items to spend your money on. The answer may surprise you when asking, are first aid kits FSA eligible?
What Is an FSA?
The first step to figuring out if first aid kits are FSA eligible is to know the ins and outs of the account. As mentioned, it’s a special place to put money to cover out-of-pocket costs for your healthcare. It’s also important to note that it’s tax-free.
Depending on the industry you work in, your employer may also contribute to your FSA, which will give you even more savings to fall back on. With that said, some employers don’t offer this benefit. It’s important to inquire with your employer about your company’s FSA.
Employers are limited to contribute up to $2,650 per year to an employee’s FSA. However, if you are married, your spouse’s employer can contribute an additional $2,650 for you and your family.
Typically, the money in this account needs to be used within one year, though your employer will need to give you a two-and-a-half-month grace period to spend the savings. Additionally, you can carry up to $500 over to the next year.
Can You Use an FSA for First Aid Kits?
The money in your FSA can be spent on medical and dental expenses for yourself, your dependents, and your spouse. It can be used on co-payments and deductibles, but not premiums on your insurance.
What’s more, you can also spend it on over-the-counter (with a prescription) and regular prescription medications.
To answer, are first aid kits FSA eligible? Yes. FSAs can also be used to cover the cost of different types of medical equipment. This includes first aid kits, diagnostic devices, crutches, bandages, and more.
Lastly, you will also find that first aid kits are reimbursable through your HAS (Health Savings Account) and HRA (Health Reimbursement Account).
How to Use Your FSA for Health Kits
Most employers will give you a booklet containing information about their specific practices for using your FSA. You may also be able to ask any additional questions to your HR department. The process is typically very streamlined and straightforward.
In most cases, all you have to do is submit a claim directly through your employer. However, you will need to show proof of the purchase of first aid kits. Typically, you’ll need a statement that proves that this item is not covered by your healthcare plan.
As soon as you submit the claim and it has been approved, you will receive reimbursement for the money you spent on the first aid kits. You can also visit the “Health Savings Accounts and Other Tax-Favored Health Plans” from the IRS for additional information.
The Benefits of Using an FSA for a First Aid Kit
At this point, you might be wondering whether it’s a good idea to use your FSA for first aid kits. The truth is that this all depends on your personal situation.
As your FSA is designed to cover you in the event of emergent medical needs, it’s highly recommended that you reserve the money in your account for as long as possible.
If you are nearing the one-year mark to where you can either spend the savings or lose most of the money, then that is the time when it is wise to invest it in a first aid kit. Doing so offers a wide variety of benefits that you and your family will appreciate. Here are some of them:
Access to Immediate Medical Treatment
First aid kits give you the ability to assess and treat minor to moderate injuries immediately. This could include scrapes from your kids falling off their bikes to minor injuries while camping.
In addition, you will also find that they are essential for treating ailments before receiving professional medical care.
Having an All-in-One Solution
First aid kits are well-rounded products because they contain numerous items that you’ll need for treating scrapes, bruises, swelling, insect stings, broken bones, puncture wounds, burns, and more. They are an all-in-one solution that you should always have on hand, as you can never predict an emergency.
Improving Vehicle Safety
If you’re a driver, it’s essential to have a first aid kit on hand. This is so that you’ll have access to treatment if you’re stranded on the side of the road with an injury. You’ll also have access to medical supplies no matter where you are.
Final Thoughts
If you’re wondering whether first aid kits are FSA eligible, then know that they certainly are. As a fantastic way to use your Flexible Spending Account at the end of the year, you’ll finally have access to the medical supplies you might need.
Emergencies are unpredictable, which is why it is essential always to have a first aid kit on hand.