It depends on the type of Health Care FSA/Limited Purpose FSA program your employer has in place. There are four scenarios for funds that are left unspent in your account at the end of the plan year (12/31):
If you have an FSA with Rollover, you can carry over up to $550 (2020) into the next plan year.
If you have an FSA with Grace Period, you have up to 2½ months commonly after the end of the plan year to use unspent funds toward the expense incurred in the new plan year before you lose them.
If you have an FSA Runout Date, you have up to 90 days commonly after the end of the plan year to file claims for expenses incurred during the previous plan year and get reimbursed for that previous plan year's funds.
If you have a standard FSA, you lose any unspent funds at the end of the plan year.
Please note that the Covid-19 Relief Bill that was passed on 12/21/2020 has allowed a higher rollover amount and extended the Grace Period and Run-out-period. Your employer decides on which type of FSA account they offer. To find out which scenario applies to you, please feel free to reach out to us via live-chat, email to email@example.com, call us at 844-902-2902, or ask your HR department.