It's a fact: Americans are spending more on health care, dependent care, and other everyday wellness needs than ever before. And more of that money is coming out of our own pockets — at the doctor's office, the pharmacy, the optician, and the day care center.

That's what makes the Flexible Spending Accounts (FSA) program so valuable: it's an easy, convenient way to help stretch your health and dependent care dollars. Sponsored by your employer and brought to you by WageWorks, your FSA program brings you many advantages.

Do a little homework: Decide how much to set aside
Before you sign up, it pays to estimate your health care and/or dependent care expenses so you can decide how much to set aside through your FSA accounts. WageWorks offers easy online calculators that help you project these expenses — plus trained experts you can call for help with decision-making.

Know your limits: Consult your program materials
Because the FSA offers you certain IRS-approved tax advantages, there are limits on how much you can set aside each year through the health and dependent care accounts. Check out the materials provided by your employer or contact your benefits department to find out these amounts.

Plan wisely
The average household spends $185 every year for over-the-counter items - but it's up to you to estimate your own expenses and make sure you elect the right amount to set aside for the year. Take advantage of the easy-to-use online calculators to estimate your eligible expenses.

Use your full FSA balance
Keep in mind that if you spend less than your total account balance by the end of the plan year, you risk losing any money that's left over. So if you don't know how much to set aside, start with the expenses you're sure about. You can always set aside more next year.

If you have money left in your health care or dependent care accounts near the end of the plan year, make sure to spend it all. Check for any receipts you may not have submitted, schedule additional eligible services, or purchase additional eligible medications.

Pay for dependents' costs, too
Remember that you can use the health care spending account to pay expenses for eligible members of your family, even if they're not covered by your employer's health care plan.

Here's how someone like you might use their FSA to save on taxes, dollar-by-dollar. Take a moment to see just how much you can save.

1 Requires a doctor’s prescription as of 1/1/2011.

2 Your employer determines the maximum annual amount you can contribute for your plan, which cannot exceed $2,500, effective 1/1/2013, per IRS rules. Confirm with your employer or check your summary plan description for the maximum annual contribution limit allowed for your plan.

3 Tax savings amounts are examples provided for illustrative purposes only. They are based on federal, state, and FICA (Social Security) taxes that you do not have to pay through payroll deductions on amounts used to fund your account. Your actual savings may vary depending on your marginal income tax rate, whether you pay state income taxes, and other factors. Some states do not recognize tax exclusions for FSA contributions.

* Tax savings amounts are examples provided for illustrative purposes only. They are based on federal, state, and FICA (Social Security) taxes that you do not have to pay through payroll deductions on amounts used to fund your account. Your actual savings may vary depending on your marginal income tax rate, whether you pay state income taxes, and other factors. Some states do not recognize tax exclusions for FSA contributions. No part of this document is tax, financial, or legal advice. You should consult your own advisors regarding your personal situation and whether this is the right program for you.