Effective January 1, 2011, rules will change for using Flexible Spending Accounts (FSA’s), Health Reimbursement Arrangements (HRA’s), and Heath Savings Accounts (HSA’s) to purchase over-the-counter (OTC) drugs and medicines. After January 1st, funds from these accounts may no longer be used for OTC drugs and medicines (other than insulin) unless the employee has a prescription from a doctor or medical provider. Some examples of the OTC drugs and medicines affected by this new rule include: allergy & sinus medications, antibiotics, pain relief medicines, cough/cold/flu medicines, sleeping aids & sedatives, gastrointestinal aids, stomach remedies, and baby rash/ointments and creams. Click on this link to learn more.
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