Flexible Spending Accounts (FSAs)

Flexible Spending Accounts (FSAs), administered by HealthEquity, allow you to set aside pre-tax dollars to pay for eligible health and dependent care expenses. Each year, you must elect the annual amount you want to contribute to one or both accounts, up to the IRS limit. Your contributions will be deducted pre-tax from your paycheck, which help reduce your taxable income.

Take advantage of the HealthEquity toolkit for full of helpful resources, including a tax savings calculator, to help you learn how to be a savvy FSA user. Go online to view a list of eligible expenses, watch helpful videos, and plan for the year ahead.

  • Get reimbursed for eligible health care expenses for you, your spouse, and your children.

  • Use the HealthEquity debit card or submit documentation for reimbursement.

  • If you’re contributing to a Health Savings Account (HSA), you cannot enroll in a Health Care FSA.

Important:

  • Always save your receipts when using the HealthEquity debit card.
  • You may be asked to verify transactions, following IRS guidelines.

2026 IRS Contribution Limit: $3,300

Reminders:

  • You must incur services by December 31, 2026.
  • You must submit for reimbursement by April 30, 2027.

Use pre-tax dollars to cover eligible daycare expenses for:

  • Children under age 13
  • Disabled children
  • Dependent adults

Care can be provided by:

  • Live-in care or babysitters
  • Licensed daycare centers

2026 IRS Contribution Limit: $5,000 ($2,250 if married and filing separately)

Reminders:

  • You must incur services by March 15, 2027.
  • You must submit for reimbursement by April 30, 2027.

FSAs offer significant tax advantages but are subject to the following IRS regulations:

  • All expenses for the Health Care FSA must be incurred during the plan year: January 1 through December 31. All expenses for the Dependent Care FSA must be incurred by March 15. Refer to IRS Publication 502 and 503 for a complete list of eligible expenses. 
  • Reimbursements for the Health Care FSA and Dependent Care FSA must be submitted by April 30.
  • The IRS has a strict “Use-It or Lose-It” rule for FSAs. Any remaining funds will be forfeited.
  • Once you enroll in the FSA, you can only change your contribution amount if you experience a qualified life event.
  • Each account functions separately. You cannot transfer funds from one FSA to another.

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