How's your medical flexible spending account? You know, that special account at work that basically lets you pay your medical bills with pre-tax dollars?
If your plan's year ends December 31, your account balance needs to hit $0 by then. Otherwise, the notorious use-it-or-lose-it rule will force you to forfeit any unspent balance. (Efforts in Congress to let us roll over a few hundred unused bucks from year to year are still stalled.)
So, call your benefits office to get an up-to-date balance. If you have cash left in a medical account, consider having your teeth cleaned, buying a new pair of glasses, going ahead with that laser eye surgery or buying prescription drugs you'll need soon. The cost of over-the counter medications and some herbal remedies qualify for reimbursement, too. Check with your plan for details. Money spent on qualifying expenses before year-end qualifies for reimbursement from the account.
The same use-it-or-lose-it rule applies to child-care reimbursement accounts, too. If you have funds left in a child-care account, consider using it to give your caregiver a year-end bonus. Such generosity really doesn't cost you anything if you would otherwise forfeit the money.
The point is to be creative in figuring out how to spend the money before it disappears.
GETTING STARTED
