As 2025 races toward a close, many employees are thinking about holidays, travel, and wrapping up projects. What’s often not top of mind is their flexible spending account (FSA) balance and how to maximize it before the plan year ends. This is where employers, supported by their benefits administrator, can play a meaningful role. A gentle, well-timed reminder can help employees avoid forfeiting funds and ensure they get the full value of their benefit.

Below, we’ve outlined a few FSA spend-down talking points and resources you can share with employers to strengthen their year-end communications.

Every FSA operates a little differently, so the first priority is helping employers clearly communicate the details of their plan:

• Spend-by deadline: The date by which employees must incur eligible expenses.
• Run-out period: How long employees have to submit claims for expenses already incurred.
• Grace period or carryover (if offered): Whether employees have additional time to spend funds (or a portion of those funds) into the next plan year.

Encourage employers to promote these dates early and often across multiple internal channels. Even sophisticated employees may not realize how quickly the deadline approaches amid year-end distractions.

Most employees are aware that FSAs cover office visits, prescriptions, and common over-the-counter medications. However, many don’t realize the breadth of items that qualify. Point employers to a few lesser-known categories that can spark ideas and help employees put remaining dollars to use:

• Preventive health items: Blood pressure monitors, thermometers, pulse oximeters
• Personal care items with medical purpose: Sunscreens (SPF 15+), lip treatment with SPF, first-aid kits, heat wraps, and breast pumps
• Vision and hearing needs: Contact lens solution, eye drops, blue-light filtering glasses with prescription, hearing aid batteries
• Rehabilitation and wellness: Orthotics, kinesiology tape, TENS units, rolling massagers for medically necessary treatment
• Family health essentials: Baby nasal aspirators, baby thermometers, children’s pain relievers, prenatal vitamins

Providing a curated list gives employers practical content they can quickly share in an email or intranet post. To make the shopping experience even easier, they can point employees to an all-FSA-eligible site like FSAstore.com.

Help employers equip employees with guardrails so they feel confident using their accounts:

• Purchases must be medically necessary according to IRS guidelines.
• Keep receipts and itemized documentation, especially for over-the-counter purchases.
• For products with mixed personal/medical use, employees may need supporting documentation from a provider.
• When in doubt, employees should consult their plan documents or contact their administrator’s support team.

These gentle reminders reduce ambiguity and can prevent frustrations during claim submission.

December is naturally busy, but it also provides an opportunity to blend practical guidance with seasonal relevance. Encourage employers to share reminders around moments already on employees’ calendars:

• Holiday travel: Suggest stocking travel bags with FSA-eligible first-aid items, OTC medications, or extra contact supplies.
• Family gatherings: Remind employees to check dependent care needs or replace items for young children.
• New Year planning: Use remaining funds to refresh health essentials before setting wellness goals for the year ahead.

Thoughtful timing makes the message feel helpful rather than repetitive.

As their benefits partner, you play a key role in helping employers communicate the value of their FSA program. Providing templates, eligibility lists, and quick-reference guides can make it easier for HR teams — who are often stretched thin this time of year — to deliver clear and timely guidance.

If you would like customizable materials for your employer groups, or need support answering plan-specific questions, the Alegeus team is here to help.