From: joetaxpayer 
Newsgroups: misc.invest.financial-plan
Subject: Re: Mechanics of dependent care FSAs?
Date: Thu, 27 Sep 2007 07:19:03 -0500
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Mark Bole wrote:
> As a financial planning issue, this opens all sorts of tangential 
> questions... such as, if one knows one is going to quit a job, should 
> one plan to get a reimbursement in excess of contributions?  Or, even 
> without quitting, could one somehow bank the "premature" (advance) 
> reimbursement and at least earn interest on it?

This would take muck foresight. The plan I am most familiar with has an 
annual 'signup' in October when one must decide the amount for the next 
year. As we agree (and Chris confirmed in his reply) the HSA will 
reimburse in advance of paycheck deposits but not in advance of 
expenses. So there no opportunity for interest, but there is one for 
someone with a known early year change event and known expense.
e.g. A baby due in late January. There's a high expense, and the change 
in family status lets you change withdrawals.
e.g.2 One knows they will quit in February. So they load up on 
prescription glasses in January, and quit after reimbursement.
(Disclaimer - I'll repeat my caution, that for a small company doing 
this may be less than ethical, purposely planning to pocket what isn't 
yours)

JOE
www.blog.joetaxpayer.com