Health Care Flexible Spending Account (FSA)
A Health Care FSA lets you cover eligible health care expenses with before-tax dollars, reducing your taxable income. You can contribute to a Health Care FSA if you elect the EPO Option or if you have waived Liberty Health Plan coverage. You do not have to enroll in a Liberty Health Plan option to contribute to a Health Care FSA. However, you’re not eligible to open a Health Care FSA if you are covered under a High Deductible Health Plan outside of Liberty.
Find out ways you can use your funds so you don't lose them.
Learn about eligible health care expenses for your Health Care FSA.
A Health Care FSA lets you cover eligible health expenses with before-tax dollars.
What is a Health Care FSA?
A Health Care FSA reimburses you for eligible health care expenses for you and your eligible dependents. Eligible expenses include medical, dental, vision, hearing and prescription drug expenses. You can also use FSA funds to pay for copays, coinsurance and certain over-the-counter (OTC) items.
Important information on the CARES Act
The Coronavirus Aid, Relief, and Economic Security (CARES) Act contains important changes in how you can use FSAs. Certain over-the-counter (OTC) drugs and medications, as well as menstrual care products, are now considered qualified medical expenses, without the need for a physician prescription. You may use your FSA funds to pay for these products.
Use your Optum Bank debit Mastercard® as you normally would for these purchases. Individual merchants, like pharmacies and convenience stores, must update their point of sale (POS) system to now recognize these products as eligible health care expenses for FSAs. If their system is not updated and the sale doesn’t process, you can pay out-of-pocket then reimburse yourself with account funds. As a reminder, keep your itemized receipt or explanations of benefits, which are needed to verify each purchase so you can be reimbursed. To submit a claim for reimbursement, sign into your account and select "File a Claim" from the "I want to" section.
Both provisions for OTC and menstrual products apply to amounts paid or expenses incurred on or after January 1, 2020, and do not have an expiration date.
Don't leave money behind
Your Health Care FSA funds are available as soon as they appear in your account. It’s important to understand that in most cases FSA have a “use it or lose it” rule. That means you may lose any money left in your account at the end of the plan year.
Liberty has a run-out period, which means Health Care FSA participants have until March 31st of the following plan year to submit claims incurred for the previous plan year.
Liberty also has a rollover feature. Participants can rollover $50 up to $550 of any remaining account balance to be used in the next plan year, unless you enroll in CDHP Option 1 or 2.
Additional resources
Getting started with your FSA
Common FSA eligible/ineligible expenses
This document helps you determine which expenses may be eligible for reimbursement under your Health Care FSA.
Tips for spending your FSA
It’s important to understand the “use it or lose it” rule for FSAs. That means you may lose any money left in your account at the end of the plan year.
Paying with your FSA
FSA: How to upload a receipt
Learn how to upload a receipt for an Optum Bank debit Mastercard® purchase.
FSA: How to file a claim
Watch this video for step-by-step instructions on how to file a claim.