How to Money · Monday, July 20, 2026
The hosts discussed the challenges of healthcare FSAs, particularly their 'use-it-or-lose-it' aspect and the difficulty in predicting medical expenses. They recommended a conservative approach, suggesting that individuals with unpredictable healthcare needs might be better off not maxing out their FSA contributions to avoid forfeiting funds.
“The problem that I think Katie finds herself in is that her and her family there's not a slam dunk on one side or the other, right, Like you're You're kind of in that messy middle where you kind of have to got to predict the future. Essentially, you got to forecast a little bit and try to determine whether or not this is going to make sense for you.”
“They use it or lose it. Nature can cause people to avoid these accounts altogether because they're like, I don't want to stick money in that. I'm actually just funneling down the toilet.”
“Our ultimate advice would be the tread Ford conservatively, because it sounds like the major reason that you had higher medical expenses last year was to be more of a fluke accident, and so avoiding tax for healthcare expenses is a great thing to shoot for.”