Need to Use Up an FSA Balance? These 5 Surprising Things Qualify

When setting money aside for healthcare expenses, you have a choice. You could simply pad your regular savings account so you have funds to tap as medical bills arise. Or, you could contribute to a flexible spending account (FSA).

The upside of funding an FSA is that your money goes in on a pre-tax basis. So if you contribute $1,200 to your FSA, that's $1,200 of income you won't pay the IRS taxes on.

The problem with FSAs, though, is that they tend to work on a use-it-or-lose-it basis. You generally have to commit to an annual FSA contribution ahead of a new calendar year, and you can't make changes to it unless you undergo a qualifying life event, like a marriage or divorce.

Meanwhile, some FSAs allow you to carry a limited amount of money from one year to the next. Others come with a grace period that allows you to use up your balance a few months into the new year. But if your FSA doesn't have these features, and you still have a nice chunk of money sitting in that account, then you may be at risk of losing it.

That, however, is something you really don't want to do. A better bet is to find creative ways to use up your balance. Believe it or not, the following items are considered FSA-eligible expenses.

1. A fitness tracker

If it seems as if you're the only person you know without a Fitbit, or a similar fitness tracker, you may be in luck. In some cases, a fitness tracking watch or device might count as an FSA-eligible expense. However, for this to happen, you'll need a doctor to provide you with a letter of medical necessity speaking to that need. A doctor may be willing to do this if you're considered medically overweight or have a condition that can be managed by exercise.

2. Cold and allergy relief

Like it or not, we're now deep in the throes of cold and flu season. And with that might also come winter allergies. The good news is that you can use your remaining FSA funds to pay for over-the-counter cold and cough remedies, including decongestants and nasal sprays. You can also use your balance to load up on throat lozenges.

3. Contact lens solution

You may be aware that you can use your FSA to pay for contact lenses, as well as prescription eyeglasses and sunglasses. But if you're all set in that regard, you can use your balance to pay for contact lens solution. You can also use your FSA to purchase drops to alleviate dry eyes -- a condition that can pop up for contact lens wearers.

4. Menstrual products

Women are often forced to shell out a huge sum of money to deal with a matter of recurring monthly biology. If you have a lingering FSA balance you need to use up, stock up on tampons and pads. Those count as eligible expenses.

5. Sunscreen

Given that many parts of the country are already seeing their fair share of snow, you may not exactly be planning for your next beach outing right about now. But you should know that sunscreen is considered an FSA-eligible expense. So if you have extra money to use up, you might as well stock up. This is an especially good idea if you have kids who tend to go through sunscreen quickly during the summer thanks to pool outings and camp sessions.

The last thing you should do is give up money that's rightfully yours. If you don't have prescriptions to refill in the coming weeks or medical appointments to attend, then consider making the above purchases to spend down your FSA balance before 2023 comes to an end.