Flexible Spending Accounts, or FSAs, are offered as an employee benefit, and allow you to set aside pre-tax salary dollars to pay for medical expenses, such as deductibles, co-pays, dental treatment, and medical treatments not covered by insurance.
A requirement of these accounts is that you decide at the time of enrollment how much money you’ll set aside for the year. FSA money must be spent within the benefit year or the funds are forfeited. Most companies, however, do offer an extension period, which can stretch until mid-March (check with your plan administrator to learn how much time you have to exhaust your account).
Read more of my article, “Changes to Your 2013 FSA Account” on WebMD.