Flexible spending accounts (FSAs)

A health care FSA lets you set aside pretax dollars for eligible health care expenses. Your full elected amount is generally available on the first day of your plan year. Use your FSA card to pay for eligible expenses or request reimbursement for qualified out-of-pocket purchases.

Health care FSA funds are generally available on the first day of your plan year, even though contributions are deducted from your paycheck throughout the year. Dependent care FSA funds become available as contributions are made. Refer to your plan documents for details.

In most cases, no. FSA contribution elections are typically made during annual enrollment and remain in effect for the plan year.

Changes may be allowed if you experience a qualifying life event, such as marriage, divorce, the birth of a child or a change in employment status. Refer to your plan documents for details.

For 2026, the IRS limits health care FSA contributions to $3,400 per person per year. If both spouses have FSAs, each may contribute up to the annual limit.

Your employer may set a lower contribution limit. Check your plan documents or contact Human Resources for plan-specific details.

Unused health care FSA funds may be eligible for carryover to the next plan year. For plans ending Dec. 31, 2025, up to $680 may carry over to 2026. Carryover funds do not reduce your annual contribution limit.

For 2026, the dependent care FSA limit is $7,500 for married couples filing jointly and single parents, or $3,750 per parent for married couples filing separately. 

Paying with your FSA payment card is a convenient way to pay for qualified health care expenses without submitting claim forms. The card can be used at eligible health care providers and retailers, including hospitals, doctor's offices, Walmart, Amazon and Optum Now.

The card may also be used at eligible childcare providers that accept Mastercard® or Visa®. Childcare expenses must be incurred before reimbursement can be made from a dependent care FSA.

Save itemized receipts, bills and statements for all FSA payment card purchases.

A health care FSA (HCFSA) helps pay for eligible medical, dental, vision and prescription expenses. Your full elected amount is generally available on the first day of your plan year. Eligible expenses may vary by plan.

A dependent care FSA (DCFSA) helps pay for eligible dependent care expenses, such as childcare or eldercare that allows you to work. Unlike an HCFSA, DCFSA funds become available as contributions are deposited into your account.

You may be eligible for a dependent care FSA if you have a qualifying dependent who requires care so you can work. You must also meet one of the following criteria:

• You are not married.
• Your spouse works, is a full-time student, is actively seeking work or is disabled (cannot perform their own self-care).
• You are divorced or legally separated and have custody of your child, even if your former spouse claims the child for income tax purposes. Your dependent care FSA can be used to pay for childcare services provided while the child resides with you.

The run-out period is the time after a plan year ends or coverage ends when you can submit claims for eligible expenses incurred during your period of coverage.

You cannot incur new expenses during the run-out period. It only allows additional time to submit claims before funds are forfeited.

For example, if your plan has a 90-day run-out period, you have 90 days after your coverage ends to submit eligible expenses incurred before that date.

Generally, money left in your HCFSA at the end of the plan year is forfeited under the "use-it-or-lose-it" rule.

Some plans may offer a grace period, allow unused funds to carry over, or provide additional time to submit claims for eligible expenses incurred before the deadline.

Check your plan documents or contact Human Resources for plan-specific details.