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8/21/2025
3 min read

Stop Donating to the IRS: 5 HSA/FSA Expiration Traps You Can Avoid

Avoid 5 common HSA/FSA mistakes that cost you money—keep more of your healthcare dollars and stop “donating” to the IRS.
Stop Donating to the IRS: 5 HSA/FSA Expiration Traps You Can Avoid
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Stop Donating to the IRS

If you have a Health Savings Account (HSA) or a Flexible Spending Account (FSA), you already know they’re powerful tools for saving money on eligible medical expenses. But every year, millions of dollars in unused HSA and FSA funds quietly slip away because account holders miss key deadlines or don’t fully understand the rules. That’s money you’ve earned — and the IRS is happy to keep it if you don’t claim it. The good news is that avoiding these traps is easier than you think, and the right tools can help you track every dollar with confidence.

Trap 1: Missing Your Year-End Spending Deadline

Many FSA plans are “use it or lose it,” meaning any leftover funds vanish after the plan year ends. Some employers offer a short grace period or allow a small rollover, but that still leaves most of your unused balance at risk if you’re not paying attention.

Trap 2: Forgetting to Submit Receipts

Even if you’ve spent the money, failing to submit receipts on time can mean your expenses go unpaid. This is one of the easiest mistakes to avoid with a simple tracking system that alerts you when you’re missing documentation.

Trap 3: Not Knowing What Qualifies as an Eligible Expense

From copays to sunscreen, the list of eligible HSA and FSA expenses is longer than most people realize. Missing out on these purchases — especially toward year-end — means missing a chance to spend funds before they expire.

Trap 4: Leaving Reimbursable Expenses Unclaimed

Sometimes receipts end up buried in drawers, email archives, or glove compartments. Months later, the reimbursement window has closed. A real-time medical expense tracker makes sure no eligible purchase slips through the cracks.

Trap 5: Ignoring Changes to Contribution and Spending Rules

Annual contribution limits, qualifying expense lists, and rollover policies can change. Staying up to date ensures you’re not accidentally forfeiting funds or missing ways to maximize your tax savings. Whether you use your HSA for long-term savings or your FSA for annual spending, having clear visibility into your balance and deadlines could be the difference between keeping your hard-earned money or donating it to the IRS.

How We Can Help

Don’t let your unused HSA or FSA funds slip away this year. Purchase the Ardent Workshop Medical Expense Tracker today and take control of your healthcare dollars. Start tracking now, save money, and keep every cent you’ve set aside for your health.