Flexible Spending Accounts
You have the option to enroll in three Flexible Spending Accounts, or FSAs:
- Health Care FSA
- Limited-Purpose FSA
- Dependent Day Care FSA
FSAs allow you to set aside pre-tax dollars to pay for eligible expenses incurred during the plan year. Please plan carefully because any unused funds left in the account at the end of the plan year are not refundable to you. (A limited amount can be carried over to the following year in the case of the Health Care and Limited Purpose FSA only.)
Health Care FSA
- For 2024, you can contribute up to $3,200 to this FSA.
- The Health Care FSA lets you pay for qualified health care expenses with tax-free dollars. You can use your FSA to reimburse yourself for eligible expenses you or a dependent incur, even if you (or your dependent) are not enrolled in a company-sponsored medical, dental or vision plan.
- Due to IRS rules, if you enroll in an HSA-eligible plan, or are covered under an HSA-eligible plan through your spouse or another employer, you cannot contribute to the Health Care FSA.
Limited-Purpose FSA
- For 2024, you can contribute up to $3,200 to this FSA.
- This FSA is available only to employees who participate in one of the HSA-eligible plans. It can be used for qualifying dental and vision expenses only. It cannot be used for medical and prescription drug expenses.
Dependent Day Care FSA
- You can contribute up to $5,000 to this FSA (or $2,500 if married and filing taxes separately).
- This FSA lets you reimburse yourself tax-free for certain child and/or elder care expenses incurred because you (and your spouse, if you are married) work or are looking for work. It is used for day care-related expenses for dependent children under age 13 or dependent adults who are incapable of self-care.
Important things to know
- Any reimbursements you want to be paid from your 2024 Health Care or Limited Purpose FSA must be submitted to UnitedHealthcare by March 31, 2025, and must be for services received in 2024.
- You can roll over up to $640 in your Health Care or Limited Purpose FSA into 2025
- If you decline FSA participation during this year’s Open Enrollment period, you cannot enroll in an FSA until next year’s annual Open Enrollment, unless you have a qualified life status change.
Government rules impose a limit on the annual pre-tax contribution that an employee can contribute to a Flexible Spending Account (FSA) on a pre-tax basis. For 2024, the maximum Health Care or Limited Purpose FSA contribution is $3,200, and the maximum Dependent Day Care FSA contribution remains $5,000.