The healthcare reform laws enacted a provision that restricts healthcare flexible spending arrangements (Health FSAs) and health reimbursement arrangements (HRAs) from reimbursing amounts expended by participants and their dependents in various ways. Effective January 1, 2011, there can be no reimbursement for over-the-counter medicines or drugs (except insulin) purchased without a prescription. The IRS has also provided special rules regarding the types of transactions and substantiation requirements for which prescribed over-the-counter drugs may be purchased using a Health FSA or HRA debit card, effective January 16, 2011. Plan sponsors need to amend their Health FSA (cafeteria plans) and/or HRA plan documents to reflect this change no later than June 30, 2011.