More robust health benefits would eliminate the need for an FSA.

With rising rates of chronic illness, more and more Americans are using FSAs for items not covered under the typical health plan, including wheelchair repairs, hearing aids and diabetic supplies.

FSAs are a tool for the wealthy.

FSAs are used primarily by the working middle class. The average FSA participant annually earns approximately $55,000.

FSA participants spend frivolously on unnecessary purchases.

More than 90 percent of expenses are spent for provider services and prescription co-pays. Just eight percent is spent on over-the-counter expenses, and many of those dollars go for medications that were, until recently, available only by prescription.

FSAs encourage over-purchasing of health care.

An FSA participant is spending his or her own income when electing to deposit money into an FSA. A consumer is unlikely to waste those set-aside funds on unnecessary expenditures.

FSAs don’t address the challenge of rising health care costs.

FSAs allow consumers to maintain their treatment regimes for chronic conditions by providing an essential budgeting tool, which aid in the reduction of emergency room visits and hospitalizations. FSAs are part of the solution and should be embraced with health care reform as a way to reduce overall health spending.

Limiting the amount of money that individuals can contribute to FSAs will only affect a small amount of people who contribute more than $2,500 to their FSAs.

Imposing a $2,500 limit on FSA contributions, as was previously approved by the Senate and House and is included in President Obama’s recent health care reform proposal, would negatively impact approximately one in five FSA participants, according to statistics compiled by WageWorks.

Sadly, those who would stand to lose the most with a $2,500 cap are individuals and families battling chronic conditions that have an average of $4,398 per year in out-of-pocket health care costs, according to the Robert Wood Johnson Foundation. Currently, federal employees can contribute up to $5,000 to their FSAs and state employees in 46 states have FSA contribution limits set at $3,000 or more.

Restrictions on FSA coverage for over-the-counter medicines will lower health care costs and reduce demand for unnecessary treatments.

Over-the-counter treatments enable people to safely and cost effectively manage their health and treat headaches, allergies and other ailments.  Restrictions on FSA coverage for over-the-counter medicines will increase health care costs, forcing participants to seek out more costly prescription medications.  These restrictions will also be overly-burdensome for health care providers, pharmacists, employers and plan administrators.