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Flexible Spending for Dental Care

by | Dec 4, 2023 | Flexible Spending for Dental Care

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Benefits Must Typically Be Used within Plan Year

Flexible spending for dental care can help with expenses. Good oral health is important, but, like anything of value, it’s not always cheap. If you can get the services you need at less expense, you want to do so. That’s one of the purposes of the flexible spending account.

What Is a Flexible Spending for Dental Care Account?

A flexible spending account is an employee benefit that allows you to set aside pre-tax earnings to pay for certain types of medical care, including dental care. Your employer must offer the benefit for you to take advantage of it. There are three common types of flexible spending accounts:

  • Those that allow funds to be used for any eligible medical costs
  • Those that limit the use of the flexible spending account dollars to dental and vision expenses
  • Those that allow flexible spending account funds to be used for eligible expenses of dependents

What Happens to Any Funds that Don’t Get Spent?

Most employers require that any earnings placed in a flexible spending account be used during the plan year. In limited situations, employers may allow a carryover to the next calendar year, though there’s a ceiling on how much can be carried forward ($610 in 2023). Some employers will also allow a grace period after the end of the plan year (typically up to 2 ½ months) when employees can still spend flexible spending account money.

The flexible spending account can offer a significant benefit, particularly if you’re in a higher income tax bracket, but you can quickly lose the benefit if you overfund your FSA and can’t spend it all. Getting the most benefit out of a flexible spending account requires careful planning. Additionally, if you have routine care scheduled for early next year, it may be in your best interests to move that appointment up and spend the dollars this year.

We Love to See You Smile

At Hutto Hippo Family Dental, our friendly staff is here to answer your questions or address any concerns you have about your dental health. Call us at (512)806-7740 to schedule an appointment.