FSA Guide

Spend smarter.
Save more on healthcare.

An FSA empowers you to keep more of your hard-earned money. Plan your spending, know the rules and unlock amazing tax savings.

What is a Flexible Spending Account?

FSAs are tax-advantaged accounts that let you use pre-tax dollars to pay for eligible medical expenses. You can use an FSA to save on average 30 percent¹ on healthcare costs. Don’t think of it as money deducted from your paycheck—think of it as money added to your wallet.

Expect Remarkable

24/7 member services

Award-winning mobile app²

Convenient Help Center

Easy account management

Plan your spending

It pays to be strategic.

Think beyond the doctor’s office

Because of the tax savings on contributions, you can save an average of 30 percent¹ on qualified medical expenses, including but not limited to:

Acne Medicine
Ambulance
Contact Lenses^Rx
Dental Cleanings
Disposable Face Masks
Eyeglasses^Rx
Eye Surgery
Hearing Aids
Motorized Wheelchair
Prescriptions^Rx
X-Rays

Allergy Medicines
Braces
Crutches
Denturist
Doctor Fees
Eye Exams
Flu Shot
Ibuprofen
Orthodontia
Sanitizing Wipes

Discover all the ways to spend your FSA

Your savings can add up fast

Here’s an example based on $2,500 annual spending and a 30 percent effective tax rate.

Medical expenses
$1,500

Vision expenses
$500

Dental expenses
$500

Annual tax savings¹

$750

Make your elections

Once you choose an annual contribution, your employer will deduct that amount pre-tax in equal parts from each paycheck.

FSA Annual Contribution Limit

Tax year	Individual and family limit
2023	$3,050
2024	$3,200

Get your money right away

Let’s say you plan to contribute the IRS maximum to your FSA. You’ll have access to the entire amount on the first day of the plan year. Take advantage. Spend now, contribute later.

Know the rules

Don’t get caught by surprise. Carefully review your open enrollment materials.

Timing matters

Unused FSA funds are eventually forfeited back to your employer, so it’s important to be aware of spend-down deadlines. Consult your plan documents for complete details.³

Limited election period

Elections can only be made during open enrollment unless you have a qualifying life event,⁴ which may include changes to:

Employment
status (Including
medical leave)

Marital status

Number of
dependents

No double-dipping

You can’t get reimbursed twice for the same expense (example: reimbursement + deduction from tax returns).

We make it easy to get reimbursed:

Online bill pay
Direct reimbursement into your checking account
HealthEquity FSA Debit Card

Tools and resources

Check out these additional resources.

Watch our on-demand webinar

Find out everything you need to know about FSAs, like seeing if you are FSA eligible. Take a deep dive and get tips and tricks to make the most of your account.

FSA: A flexible way to save

A Flexible Spending Account (FSA) empowers you to spend tax-free dollars on qualified medical expenses. But smart spending requires careful planning. Join us to learn a few simple strategies that’ll help you spend and save like an FSA pro.

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Explore other FSA types

DCFSA

Dependent Care Flexible Spending Account

Turn caregiving into monthly tax savings.

¹The example used is for illustrative purposes only; actual savings may vary. The figure is based on average tax rates, including state, federal and FICA taxes.Return to content

²Accounts must be activated via the HealthEquity website in order to use the mobile app.Return to content

³Plans vary by employer. Please review your plan documents carefully or consult your employer for information about your company's benefits.Return to content

⁴Please refer to your plan documents for more information.Return to content

HealthEquity does not provide legal, tax or financial advice. Always consult a professional when making life-changing decisions.