A WageWorks Company
TAX-ADVANTAGED PLANS AND HEALTH CARE REFORM
Participants
The place to come for information on everything pertaining to the health care reform law and the effect it will have on your benefits.
In early 2010, the Affordable Care Act became law. As a result, there are some new rules that will affect how you are reimbursed for certain purchases from your Planned Benefit Systems Tax-Advantaged Plan.
Effective January 1, 2011, you will need a doctor's prescription to purchase OTC drugs and medicines, such as Claritin, Advil and Robitussin, through your Account. Since the new law requires a prescription for OTC drugs and medicines to be eligible for reimbursement, you will no longer be able to use your PBS Benefits Card to pay for these purchases. Instead, you will be required to submit the receipt showing the prescription number (or if the prescription number is not shown on the receipt, you will need to include your doctor's prescription dated on or before the purchase date of the OTC item) along with your claim. Visit our Filing Claims page for more information on requesting reimbursement.
This new prescription requirement applies only to OTC drugs and medicines. You will still be able to use your Card at pharmacies and stores to pay for prescriptions, medical devices, bandages and many other OTC medical items, as well as at providers' offices for copayments and expenses for eligible health care, vision and dental procedures and services. You will also still be able to purchase all of the same items using your Account that you can today - the only differences are that you will need a doctor's prescription for OTC drugs and medicines and you will not be able to use your Card to pay for these purchases.
Our parent company, WageWorks, is working directly with the IRS and Treasury on a proposal that would enable you to, once again, use your Card for prescribed OTC drugs and medicines and will keep you informed on our progress on this issue.
See below for additional information about the new rules, tools and resources to help with the planning and management of your Accounts.
In early 2010, the Affordable Care Act became law. As a result, there are some new rules that will affect how you are reimbursed for certain purchases from your Planned Benefit Systems Tax-Advantaged Plan.
Effective January 1, 2011, you will need a doctor's prescription to purchase OTC drugs and medicines, such as Claritin, Advil and Robitussin, through your Account. Since the new law requires a prescription for OTC drugs and medicines to be eligible for reimbursement, you will no longer be able to use your PBS Benefits Card to pay for these purchases. Instead, you will be required to submit the receipt showing the prescription number (or if the prescription number is not shown on the receipt, you will need to include your doctor's prescription dated on or before the purchase date of the OTC item) along with your claim. Visit our Filing Claims page for more information on requesting reimbursement.
This new prescription requirement applies only to OTC drugs and medicines. You will still be able to use your Card at pharmacies and stores to pay for prescriptions, medical devices, bandages and many other OTC medical items, as well as at providers' offices for copayments and expenses for eligible health care, vision and dental procedures and services. You will also still be able to purchase all of the same items using your Account that you can today - the only differences are that you will need a doctor's prescription for OTC drugs and medicines and you will not be able to use your Card to pay for these purchases.
Our parent company, WageWorks, is working directly with the IRS and Treasury on a proposal that would enable you to, once again, use your Card for prescribed OTC drugs and medicines and will keep you informed on our progress on this issue.
See below for additional information about the new rules, tools and resources to help with the planning and management of your Accounts.
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OTC Fact Sheet
PBS helps you become familiar with the new rule created by the Affordable Care Act requiring a doctor's prescription for the reimbursement of Over-the-Counter (OTC) Drugs and Medicines from a Health Care Flexible Spending or Savings Account.
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FAQ for OTC Drug Prescription Requirement
Answers to commonly asked questions about the OTC Drug Prescription Requirement.
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Health Care Eligible Items List for 2011
A listing of items that are typically reimbursable.
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Health Care Reform Recorded Webinar October 2010
Jody Dietel, Chief Compliance Officer for WageWorks and PBS, explains the new and sometimes confusing health care regulations as they apply to Flexible Spending Accounts.
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Fox 31 News - October 26, 2010
Medical Flex Spending Account Changes
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Affordable Care Act - OTC
IRS Questions and Answers on Over-the-Counter Medicines and Drugs.
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IRS Press Release
IRS issues guidance explaining 2011 changes to Flexible Spending Arrangements.
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Prescriptions for OTC Drugs & Medicines
Official IRS guidance covering the new rule requiring prescriptions for the reimbursement of OTC Drugs and Medicines.
