If you have a Flexible Spending Account (FSA) or a Health Reimbursement Account (HRA), you may have received an email requesting a receipt for a purchase you made – even for an expense that was perfectly eligible. You might be wondering why your card was initially approved and then after your purchase you’re asked to verify the transaction was for eligible items or services.
The IRS lets you use funds in your FSA/HRA tax-free. In exchange, you have to play by their “house rules” (i.e. provide proof that you bought an eligible product).
An Ameriflex card user swiping their card for an IRS approved expense is actually making a claim that requires verification. One-of-a-kind in the industry, the Card Swipe Guarantee® is a feature offered to all FSA and HRA customers where we will take on the compliance liability around documentation. Our advanced technology allows us to ensure that participants’ FSA and HRA-eligible card transactions will go through without requiring them to submit further documentation.
Your Ameriflex Debit Mastercard® works at stores where a majority of the products sold are eligible. As you know, most stores sell a mix of eligible and ineligible products (i.e. candy and birthday cards).
When you buy something with your Ameriflex Debit Mastercard® at one of these stores, your card gets approved assuming you purchased an eligible item. The problem is, not all stores have a system in place to tell us what you purchased with your card. Most doctor’s offices and eyeglass providers offer products that aren’t eligible, such as non-prescription sunglasses and concierge fees for white-glove treatment. As a result, you may be asked to provide a receipt to confirm the item or service you purchased was eligible. If you visit a doctor, dentist, or eyeglass provider, always request an itemized receipt.
How to Reduce Substantiation Documentation Requests
The key to receiving fewer requests for documentation is where you buy your product, not what you buy. If you use your card at an IIAS merchant, it’s less likely we’ll ask you for a receipt. Stores with an Inventory Information Approval System (IIAS) identify eligible expenses on the spot. Here is a list of certified IIAS stores.
To reduce receipt requests when shopping at an IIAS merchant, follow these steps:
- Pay for the eligible expenses first using your Ameriflex debit card
- Pay for the remaining ineligible items separately using another form of payment
- Always save your receipts just to be safe
Need help with a pending transaction? Check out this article in our help center. Or get in touch with our team.