Physical therapy is an essential part of healthcare and plays a crucial role in treating chronic pain, recovering from major surgery, preventing future movement dysfunction, and much more. If you’re concerned about the costs of physical therapy, you’re not alone. One way to make physical therapy more affordable is to use a Flex Spending Account (FSA).
You can use many FSAs for physical therapy pre-screenings, treatment sessions, and products. Using your FSA presents another route to savings if your insurance coverage isn’t what you expected. But maybe we’re getting ahead of ourselves. What is an FSA, anyway, and how could one help you save on physical therapy costs?
This guide covers what you need to know to get the most out of your Flex Spending Account. Read on for a detailed look at FSA-eligible items, how FSAs work, and how to use your FSA for physical therapy.
What is an FSA designed to do, and how can it reduce medical expenses? With a Flex Spending Account, pre-tax funds are deposited by your employer into a special debit account. Some employers even match a portion of your commitment to your FSA. You’ll make a decision on how much money you’ll need to cover healthcare expenses through the year and have it available to you at the start of the new year. FSA funds typically have to be used in the year you receive them, except for a small amount that can be rolled over.
In some cases, you may be required to pay upfront for your care and later be reimbursed by your FSA. It’s good to communicate with your provider so you can know what to expect.
By contributing to your FSA before taxes are taken from your paycheck, that extra money you would’ve sent to state and federal governments is instead available to you. So if you’re taxed at around 20%, every $100 of your FSA would’ve only been worth about $80 of spending out of pocket. As long as you have a good estimate of your healthcare expenses, an FSA can bring some pretty substantial savings.
Depending on the health plan you choose, you may also be eligible for a Healthcare Spending Account (HSA). Unlike the funds in an FSA, the money in an HSA account rolls over with the new year. An HSA is essentially a savings account for medical expenses, so it’s a good choice if your current expenses are minimal, but you expect surgery or chronic pain treatment in the years to come. The pre-tax money that goes into your HSA accrues interest, and many plans even allow you to invest your funds.
You can also use your FSA for a variety of pain relief items and physical therapy devices. Although you should ask your provider for a complete list of FSA-eligible items, most will allow you to purchase joint and muscle relief items that are commonly suggested by PTs.
An FSA is likely to cover:
Questions about how you can use FSA for physical therapy or accepted insurance at IMPACT Physical Therapy? Don’t hesitate to reach out to a location near you. We’re happy to provide details on the many benefits of PT for chronic pain, movement disorders, orthopedic surgery recovery, and what to expect at your first visit!