What happens to the balance in the account(s) at the end of the plan year?
FSAs are subject to a use-it-or-lose it rule so if the funds are not used by the end of the year, you lose that money. Employers do have the choice to give employees a two-and-a-half month grace period immediately following the end of a plan year to use up funds for the year. Thus, if the plan year ends December 31, you may have the ability to use your health FSA funds until March 15 from the previous year.
