FSA account

[goodnites2002]

so through my work I signed up for a "flexable spending account". This account takes money out of my paycheck ore tax and allows me to use it on medical expenses including doctors co-pays, doctors bills, perscriptions, over the counter medication, and almost anything else you can think of for medical purposes.

None of the documentation says incontinent products or diapers. I know that if I have a doctors note I could use the FSA account for them, has anyone had any experience with this?

 

[Ace]

I have quite a bit of experience with FSA's, I have some material at my office which I'll double check tomorrow, but I'm 99% sure that incontinent products will be covered but you will be required to submit a doctors note.

 

[goodnites2002]

I have quite a bit of experience with FSA's, I have some material at my office which I'll double check tomorrow, but I'm 99% sure that incontinent products will be covered but you will be required to submit a doctors note.

that's what I'm hoping to avoid. I don't think any doctor would give someone a note just because they wanted to wear diapers and charge it to an FSA account.

 

[Ace]

Personally, I think that's why they require a note to buy diapers. I thought it was odd when I looked at the list of covered things. For example, if you wear contacts and need to buy contact lens solution, you can just send in the receipt without a prescription, but incontinence products require a note.

Be careful with some items though and some procedures and keep in mind that this is an IRS designed program, so that explains certain weird things about it.

 

[diapernh]

at my work, the page said "diapers - adult - used to treat a condition"
Thanks for beiing vague, treat a condition... my condition is infantilism, LOL

I have sent in claims for diapers, perscriptions, copays, parts for my CPAP machine that my medical equipment provider won't bill ins for. Never had a problem.

Think about it.... What grown person is going to submit expenses for diapers unles they needed them?

 

[Darkfinn]

Well... I do suppose that is all dependant on the word "condition"... heheh.

 

[Ace]

I checked my IRS guidelines at the office today, you need a doctor's note and a receipt or your claim submission should be denied my your company's plan administrator.

 

[goodnites2002]

Yeah... I don't think I want to try and get this past the doctor and uncle Sam. LOL

 

[Fire2box]

that's what I'm hoping to avoid. I don't think any doctor would give someone a note just because they wanted to wear diapers and charge it to an FSA account.

Indeed since that would be fraud it sounds like this is somewhat like health insurance it just only covers stuff like medication though.

 

[diapernh]

i don't see it as fraud. I am not taking money that is not already mine. the money in my FSA comes out of my check pre-tax

 

[goodnites2002]

So I had to call our plan administrator to have some questions and asked if incontinence products were covered. She first drew a blank, so I said depends and similar products. She looked it up on her computer and said I would need to submit a doctors note because her computer didn't say yes or no. I got off the phone and thought that was that.

About 3 minutes later I got a return call from the lady. Turns out they are covered. I did not clarify of that was with or without a doctors note, however I'll follow up with another post after the next time I buy diapers and submit the receipt for reimbursement.

Fyi, my plan is administered by Manley services (pacific source). YMMV.

 

[Ace]

Please do keep us posted, I would be interested as being in this field myself professionally, we require a doctor's note to pay this. If you can get it paid without the note from your doctor, I'd certainly like to know.

 

[calibf]

i don't see it as fraud. I am not taking money that is not already mine. the money in my FSA comes out of my check pre-tax

The pre-tax part is where it'd be fraud. Instead of paying taxes on it, there's a program (FSA) that lets you use the taxes for medical purposes. If you're cheating by using them for some other purpose, then that's fraud.

That said, diapers are probably a fine line because it would be very difficult for someone to -prove- that you didn't really need them for medical purposes (eg. bedwetting).

You'll have to submit a receipt for the FSA purchase anyway. Just try it. If they won't cover it, they'll just deny the attempted claim.

 

[diapernh]

oh, they cover it. I have did it several times

 

[goodnites2002]

Well, it's taken some time to go through, they are in the process of moving to a new database system however I checked my online statement and the 5.95 charge I submitted from xp medical for a sample package was approved without a doctors note. Again this has been my experience and yours may be different.

 

[Ace]

Good to know, I appreciate the update.

 

[Sparkz]

Isn't an FSA account still $1:$1? It's just a bank for medical purposes so you aren't exactly saving any money. What is the benefit of doing it this way?

 

[Spaz]

I have one of these accounts through work. Basically, at the begining of the fiscal year, I set aside an amount to cover medical expenses. Every paycheck, they take out a portion pretax and set it aside in an FSA account. Then I pay for a monthly shipment of diapers online (no tax). I submit a reciept to the company that manages the account and get reimbursed. I save money on the federal tax that I would have paid if I had made a purchase without doing this. Since I am medically incontinent, I also have to send the company a note from my Urologist. The part about the note was required by the company to show I needed "incontinent supplies." The reason why they require the note is because the IRS doesn't want people buying diapers pre-tax unless they are needed for a medical condition.
Spaz

 

[incon50]

I've experienced the same situation that SPAZ has had with his FSA. Over the years, with different companies, some plan administrators required a doctor's note and some did not. Those that did not actually had depends listed on covered items. Even though they listed depends I submitted bills from XP Medical for abriform and was never questioned.

incon50

 

[FluffyFluffers]

Isn't an FSA account still $1:$1? It's just a bank for medical purposes so you aren't exactly saving any money. What is the benefit of doing it this way?

you do not pay tax.