When managing your Flexible Spending Account (FSA), it's easy to make mistakes that could cost you money or lead to unnecessary complications. Here are some common mistakes to avoid:

1. Not Using Funds Before the Deadline: FSAs are "use-it-or-lose-it" accounts, meaning if you don't spend the money in your FSA by the end of the plan year (or by the grace period, if your plan has one), you forfeit the funds. Be mindful of deadlines and plan your spending accordingly.
2. Overestimating Your Contribution: Contributing too much to your FSA can be risky. If you don't spend all the money you've set aside, you'll lose it. Estimate your annual healthcare expenses carefully to avoid over-contributing.
3. Purchasing Non-Eligible Items: Not all healthcare expenses are FSA-eligible. Ensure that you're only purchasing FSA-eligible items to avoid having claims denied. Common eligible expenses include prescriptions, medical supplies, and some over-the-counter items. Silver, on the other hand, has identified tens of thousands of eligible FSA expenses that can be used towards your FSA. 
4. Failing to Keep Receipts: Always keep receipts and documentation for your FSA purchases. If your plan administrator requests proof of an expense, you'll need to provide it. Without proper documentation, you may have to repay the amount or have your expense denied. That is why Silver is helpful, because we access that documentation for you without the hassle.
5. Ignoring the Roll-Over Option: Some FSAs allow you to roll over a portion of unused funds to the next year (up to a certain limit). If your plan offers this, take advantage of it, but remember that not all plans have this option.
6. Not Understanding Eligible Expenses: Take the time to review the list of eligible expenses for your FSA. Some things you might expect to be covered, like certain supplements or cosmetic procedures, might not be eligible.
7. Missing Out on FSA Store Benefits: Some FSAs are linked to online stores that sell FSA-eligible products. These stores make it easy to use your FSA funds on eligible items without confusion, but not using these resources might lead you to buy non-eligible items elsewhere.
8. Ignoring Dependent Care FSA Rules: If you have a Dependent Care FSA, ensure you're aware of the rules, such as eligible dependents and expenses. This FSA has different guidelines compared to a Healthcare FSA.

Avoiding these common mistakes can help you make the most of your FSA, ensuring that you're using your funds effectively and in compliance with the rules.

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When managing your Flexible Spending Account (FSA), it's easy to make mistakes that could cost you money or lead to unnecessary complications. Here are some common mistakes to avoid:

1. Not Using Funds Before the Deadline: FSAs are "use-it-or-lose-it" accounts, meaning if you don't spend the money in your FSA by the end of the plan year (or by the grace period, if your plan has one), you forfeit the funds. Be mindful of deadlines and plan your spending accordingly.
2. Overestimating Your Contribution: Contributing too much to your FSA can be risky. If you don't spend all the money you've set aside, you'll lose it. Estimate your annual healthcare expenses carefully to avoid over-contributing.
3. Purchasing Non-Eligible Items: Not all healthcare expenses are FSA-eligible. Ensure that you're only purchasing FSA-eligible items to avoid having claims denied. Common eligible expenses include prescriptions, medical supplies, and some over-the-counter items. Silver, on the other hand, has identified tens of thousands of eligible FSA expenses that can be used towards your FSA. 
4. Failing to Keep Receipts: Always keep receipts and documentation for your FSA purchases. If your plan administrator requests proof of an expense, you'll need to provide it. Without proper documentation, you may have to repay the amount or have your expense denied. That is why Silver is helpful, because we access that documentation for you without the hassle.
5. Ignoring the Roll-Over Option: Some FSAs allow you to roll over a portion of unused funds to the next year (up to a certain limit). If your plan offers this, take advantage of it, but remember that not all plans have this option.
6. Not Understanding Eligible Expenses: Take the time to review the list of eligible expenses for your FSA. Some things you might expect to be covered, like certain supplements or cosmetic procedures, might not be eligible.
7. Missing Out on FSA Store Benefits: Some FSAs are linked to online stores that sell FSA-eligible products. These stores make it easy to use your FSA funds on eligible items without confusion, but not using these resources might lead you to buy non-eligible items elsewhere.
8. Ignoring Dependent Care FSA Rules: If you have a Dependent Care FSA, ensure you're aware of the rules, such as eligible dependents and expenses. This FSA has different guidelines compared to a Healthcare FSA.

Avoiding these common mistakes can help you make the most of your FSA, ensuring that you're using your funds effectively and in compliance with the rules.

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