Summary

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

For More Information

• Questions and Answers on Over-the-Counter Medicines and Drugs
• FSA Information for Members (PDF)
• Health Reform and Health Accounts Information for Employers, Brokers and Consultants(PDF)
• Health Reform and Health Accounts Information for FSA, HRA and Retiree Account Owners (PDF)
• Health Reform and Health Savings Accounts (PDF)