Familymeds To Supply Extra Info For FSA Administration Card Users

The IRS also ruled that FSA members can use FSA funds to pay for some over-the-counter drugs, such as allergy drugs that recently have switched from prescription to over-the-counter status. But plans have to collect the information necessary to substantiate that FSA members are spending FSA funds only on products eligible for FSA reimbursement.

Familymeds, a company that runs a Web-based pharmacy as well as brick-and-mortar pharmacies, has agreed to transmit specific, product-level data about Web-based purchases that will help FSA and HRA administrators comply with the IRS requirements, MBI says.