Understanding the Key Differences Between an HSA and an FSA
Accessibility of Funds
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FSA's gives you access to your full annual election amount at the beginning of the plan year.
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HSA’s allow you to utilize your funds as they accumulate.
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Contribution Limits
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FSA Limit: $3,200
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HSA Limit: $4,300/Individual or $8,550/Family
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Limited Use FSA: $3,200 (used to pay for vision and dental expenses, but generally not other healthcare expenses).
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Tax Savings
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FSA: Pre-tax contributions and tax-free withdrawals.
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HSA: Pre-tax contributions, tax-free earnings (investment growth), and tax-free withdrawals, offering triple tax benefits.
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​​Portability:
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FSA: You are able to roll over up to $640 to use in the next plan year.
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HSA: These funds are permanently yours, even if you were to move another employer.
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​Deciding Factors:
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Do you expect regular healthcare visits? A FSA might be your best option!
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Looking to save and grow your funds long-term? An HSA could be your best route!