Beginning Jan. 1, 2011, over-the-counter (OTC) medications are no longer eligible for reimbursement from a Flexible Spending Account (FSA), Health Savings Account (HSA), or Health Reimbursement Account (HRA) unless obtained with a prescription.
Also in 2011, the excise tax for non-qualified HSA withdrawals doubles to 20%. Beginning Jan. 1, 2013, employee salary reduction contributions to health FSAs will be limited to $2,500 per plan year, with future increases to allow for inflation.
Video: FSA, HSA, HRA Changes
Learn about changes to these health spending accounts, particularly over-the-counter medications, under the Patient Protection and Affordable Care Act. View video
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