Q. My company uses flex spending accounts. Will my excess still be carried over to next year? R.B.T., Ridgewood, N.J.
A. Yes. Typically, if you haven’t used all the funds in a flexible spending account (FSA) for health care expenses, the company may allow you to carry over the remainder for a “grace period” of 2½ months.
Under the "Affordable Care Act" (ACA), the maximum amount you can contribute to a health care FSA will be limited to $2,500, beginning in 2013. But the IRS recently ruled that any carryover from the prior year won’t affect the $2,500 cap. (IRS Notice 2012-40)