125 Plans/Flexible Spending Arrangement: How does a Healthcare FSA Work?

You can contribute up to $2,700 annually to your FSA.

Your annual election gets deducted evenly from your paychecks and put in your FSA – on a pre-tax basis.

Your annual election is available on day 1 of the plan year. You can use FSA funds to pay for eligible healthcare expenses.

If you don’t exhaust your FSA funds by year’s end, you can rollover up to $500 into next year’s FSA plan.

Recent Posts