FSA Spend Down Tips

We understand you may be unable to spend FSA funds as initially intended, for example, due to the number of specialty health clinic closings, such as optometry, dental and chiropractic care, and childcare facility closures due to COVID-19. At this time there is no new or altered IRS guidance related to changes in FSA regulations as a result of COVID-19; however, Optum Bank is monitoring the situation closely. 

If your childcare needs have changed, there are options to modify, suspend or add a Dependent Care FSA election:

Suspend your election: If your day care has closed and is not billing you for services, you may consider suspending your election. Should you choose to do this you may re‐elect once your day care services resume.

Modify your election:

• You may increase or decrease your election if your day care provider has adjusted their fee schedule during this time.
• If a child is switched from a paid provider to “free care” (i.e. neighbor or relative) or no care. An election change should be permissible whenever there is a change in provider.

Add an election: Should your family needs require that you seek new provider services that have a cost, you may add an election. For example, you could consider hiring a babysitter to care for your children while you are working in your home. This will qualify so long as the babysitter is over the age of 19 and is not your spouse, the parent of the child, or anyone you can claim as a dependent on your tax returns.

It’s a fast and convenient way to pay for eligible medical expenses without submitting paper claim forms. Use your Optum Bank debit Mastercard® at the pharmacy, pay at the doctor’s office or write your payment card number on your provider bill. Just remember to keep your receipt, because transactions may have to be validated or substantiated per IRS guidelines.

To get claims approved, you’ll need to submit receipts for your FSA-eligible expenses that are incurred throughout the year. Watch the quick tutorial on how to upload receipts for information on steps or read below for details.

Learn how to file a Flexible Spending Account (FSA) claim by watching this short video or follow the steps below:

1. Sign in to your account.
2. Select “File a Claim” under “I want to…”.    
3. Select “Reimbursement” as the expense type.
4. Follow prompts to provide the four details below, then upload your receipt(s).

Receipts must include these details:

• Amount
• Date of purchase
• Eligible item or service
• Provider or merchant name