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Department of Defense

Fix the Flexible Spending Account Process

FSA is a good idea. It allows employees to pay for the out of pocket medical costs with their pre-tax dollars. The problem is that with the new health care law, the system has gone from "anything's eligible" to a confusing system where many less expenses are eligible. I get it that the system needed to be fixed, but it's ridiculous that participants must now 1)figure out what's reimbusable; 2)figure out how it gets reimbursed (Letter of Medical Necessity-LMN from Dr) or prescription; 3)Figure out what you have to submit to get your money back...Wait for FSA to approve the LMN (before you make any purchase) which was written by your Dr, submit your receipt, and get this, for some items (e.g. OTC allergy medications), submit a boxtop with your paperwork! Is this making processing more efficient? No. It's taking more of FSA's time to approve and process and then the participant has to try and figure out what they did wrong, if they didn't get reimbursed, so, I'm guessing that this year, with all the changes, FSA is handling more telephone inquiries. There's got to be a better way!

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Idea No. 5707