Flexible Spending Accounts (FSAs)

FSAs let you set aside pre-tax money from your paycheck to pay for eligible health or dependent care expenses.

Each year, you choose how much to contribute to one or both FSAs. Your contributions are taken from your paycheck before taxes, which can help reduce your taxable income.

Tax-smart health care

Health Care FSA

The Health Care FSA helps you pay for eligible health care expenses for you and eligible family members using pre-tax money.

Contribute up to $3,400 in 2026 (projected to be $3,500 in 2027) to help pay for expenses such as copays, prescription medications, lab tests, and more. When you have an eligible expense, use your HealthEquity debit card or submit a claim for reimbursement.

If you re-enroll, you may rollover up to $680 (projected to be $690 in 2027) to the next plan year. You must receive care or services by December 31 of the plan year to be eligible for reimbursement. All receipts must be submitted by March 31 for reimbursement.

Note: If you are enrolled in the HDHP, you are not eligible to participate in the Health Care FSA.

Health Care FSA: What Can You Pay For?

Use your Health Care FSA for many eligible health care expenses for you and your eligible family members, including:

Deductibles, copays, and coinsurance
Prescription medications
Doctor and specialist visits
Dental care, including fillings and orthodontia
Vision care, including glasses and contact lenses
Mental health care
Physical therapy and chiropractic care
Hearing aids
Eligible over-the-counter medications and medical supplies
Menstrual care products

For a complete list of eligible expenses, visit HealthEquity for more information.

Dental & vision support

Limited Purpose Health Care FSA

The Limited Purpose FSA helps you pay for eligible dental and vision expenses using pre-tax money. It works with a Health Savings Account and is available only if you’re enrolled in the HDHP medical plan. Contribute up to $3,400 (projected to be $3,500 in 2027) to help pay for eligible dental and vision expenses.

Limited Purpose FSA: What Can You Pay For?

If you’re enrolled in the HDHP and have an HSA, you can use your Limited Purpose FSA for eligible dental and vision expenses, including:

Dental exams and cleanings
Fillings, crowns, and other dental treatment
Orthodontia
Vision exams
Prescription glasses and sunglasses
Contact lenses and contact lens solution
LASIK and other eligible vision correction procedures

Remember: A Limited Purpose FSA generally cannot be used for medical expenses because it is designed to work alongside your HSA.

Daycare support

Dependent Care FSA

The Dependent Care FSA lets you use pre-tax money, up to $5,000 a year ($7,500 in 2027), to pay eligible daycare expenses for children 12 and under, or older dependents who are unable to care for themselves. Care can be provided through live-in care, babysitters, licensed daycare centers, or summer camps.

Unused funds do not roll over. You must receive care or services by December 31 of the plan year to be eligible for reimbursement. All receipts must be submitted by March 31 for reimbursement.

Dependent Care FSA: What Can You Pay For?

Use your Dependent Care FSA for eligible care that allows you—and your spouse, if applicable—to work or look for work. Examples include:

Daycare and preschool
Before- and after-school care
Summer day camps
Babysitters and nannies
In-home dependent care
Adult daycare
Care for an eligible dependent who is unable to care for themselves

Keep in mind: A Dependent Care FSA is for caregiving expenses, not your dependent’s health care expenses. Overnight camps, tutoring, and education expenses generally aren’t eligible.

Before you enroll

Rules to Keep in Mind

Use your Health Care and Dependent Care FSAs for eligible expenses incurred during the plan year: January 1 through December 31.
FSAs are subject to the IRS “Use-It or Lose-It” rule. You may roll over the Health Care FSA or Limited Purpose Health Care FSA up to the IRS-allowed limit each year. The Dependent Care FSA does not roll over. Any remaining balance above the limit is forfeited.
Once you enroll in the FSA, you can only change your contribution amount if you have a qualifying life event.
Each FSA is separate. You can’t transfer money from one FSA to another.

For detailed plan descriptions, rules, or a complete list of eligible expenses, refer to IRS Publication 502: Medical and Dental Expenses or IRS Publication 503: Dependent Care Expenses.

Quick Links

HealthEquity

Manage your FSA