Needing to vent

happywifemomofone

Today I talked to the people at my Flexible spending account about what expenses are reimburseable for DE IVF.  Needless to say that I talked to two different men, who are clueless about the process.  There is a listing of all covered expenses related to fertility.  It states "Egg Donor and/or Sperm Donor charges for the Recipient"  I first called asking for clarification of what this means.  I was told "nothing for the donor is covered, because they are NOT a listed participant."  I thin asked to speak with this man's supervisor.  The supervisor was worse that the original guy saying "nothing is covered until IT is implanted in you" So that statment, according to you, means nothing.  I explained that 100% of donor costs are paid long before transfer.  Out of frustration,  I hung up with him and said I want the person who handles the fertility claims to respond to my inquiry.  I told him "IT" is an "embryo" and is my future child and it is very respectful to refer to that child as "IT"  I don't usually get to hot under the collar about this stuff, but I am just at my breaking point trying to get people to understand who just aren't capable of understanding.  Why cann't they just admit that they don't know, don't understand the process-and refer me to someone who does?  At least try to have compassion, even if they'll never understand these things the way we do?  I listed some of the expenses-Agency fee, Testing for donor to see if she is physically and psychologically able to be a donor, donor compensation and donor IVF cycle.  In my opinion, all these expenses fall under the description "donor egg charges for the recipient."  Am I crazy yet, or still?

dhreczuck

Uggg I'm sorry you aren't getting straight answers, I've always had issues with getting clear answers on these things, I was told IUI wasn't covered because they were putting an embryo inside me, totally wrong.

But anyway, since FSA expenses are really regulated by the IRS, have you checked the IRS website with regards to what's a reimbursable expense for donor cycles? I would not be surprised if your donor's expenses weren't considered eligible, (however almost certain you could claim that amount towards your healthcare tax credit) but all your medical expenses should certainly be eligible.

Mrs.McIrish

I will send you an IRS ruling that I found about donor costs being deductible. I will be out of town so it will take me a few days but I will find it on my computer.

lhcooper

*****TICKER WARNING*******

 

 

I don't know about yours, but I am limited to only being able to put $5000 total in my health spending account in any case. We ended up just using all the DE expenses to take the healthcare deductible on our taxes. So I think it may be 6 of one, half a dozen of the other if, as McIrish says, the fees related to the donor are deductible. Which they pretty much have to be. Our clinic had the one-fee structure, however--no break-down between donor/recipient costs, so we didn't have the same concern. 

chicagobride_07

I did not try with my FSA as there is a relatively small amount of money in there in the grand scheme of things (I am limited to $2,500). I did some googling prior to my cycle and the consensus was that all costs for DE IVF were tax deductible. In addition to the traditional medical costs (ET, ER)- I am also planning to add in donor fees, legal fees, agency fee, etc.  I kept all receipts and am going to verify with my tax guy. The expenses need to be greater than 7.5% of your AGI.  Next year I think it increases to 10%.  GL!

chicagobride_07

McIrish- if you could send that to me as well, I'd really appreciate it. I have a feeling that this won't be a familiar situation to my tax guy, so if I had a reference, that might help make things less confusing.

happywifemomofone

Mrs.McIrish:

I will send you an IRS ruling that I found about donor costs being deductible. I will be out of town so it will take me a few days but I will find it on my computer.

This would be so helpful....Thank you so much.

happywifemomofone

dhreczuck:

Uggg I'm sorry you aren't getting straight answers, I've always had issues with getting clear answers on these things, I was told IUI wasn't covered because they were putting an embryo inside me, totally wrong.

But anyway, since FSA expenses are really regulated by the IRS, have you checked the IRS website with regards to what's a reimbursable expense for donor cycles? I would not be surprised if your donor's expenses weren't considered eligible, (however almost certain you could claim that amount towards your healthcare tax credit) but all your medical expenses should certainly be eligible.

I agree that what is covered is regulated by the IRS, but guess that I'm going to need a tax guy to help me sort through this stuff.  Another expense to add to the list. 

Mrs.McIrish

I think everything relating to the donor process is deductible. But you can only deduct the portion that is above the 7.5% of your AGI.  The flex spending account is different. My plan allows 5K per year and I submit receipts to be reimbursed for those expenses (the $5K is deducted from my paycheck and isn't taxed).  I have gotten reimbursed from my flex spending for any IVF fee (including hotel expenses for traveling for IVF).   Here is a publication on the IRS website and this ruling is very broad in allowing deductions for donor eggs.  I would give this to the flex spending people if they give you a hard time.  Note that if you give receipts towars your FSA, you can't then deduct that expense a second time for your tax return.

https://www.irs.gov/pub/irs-wd/0318017.pdf