HSA vs. FSA vs. DCA

TAX SAVINGS ACCOUNTS COMPARISON Employees have the opportunity to contribute to several pre- taxed accounts that can be used to pay for eligible out-of- pocket healthcare expenses. You must be enrolled in a high deductible health plan to contribute to the HSA, while the other accounts do not require enrollment in a specific medical plan. The below illustrates some of the key differences between the HSA, FSA, and the DCFSA. HEALTH SAVINGS DEPENDENT CARE FLEXIBLE SPENDING ACCOUNT (HSA) FSA (DCFSA) ACCOUNT (FSA) Must be enrolled in a Anyone with an eligible Anyone can enroll High Deductible dependent can enroll Health Plan ELIGIBILITY $3,850 for individuals and $5,000 annually; $7,750 for families $3,050 annually $2,500 if married and annually (age 55+ $1,000 filing separately MAX catch up contribution) CONTRIBUTION Your employer owns Your employer owns You own this this account - unused this account - unused account - unused funds are forfeited funds are forfeited funds are yours PORTABILITY You may not You may not Your funds rollover rollover unused rollover unused every year until they FSA funds DCFSA funds are used ROLLOVER Your funds may be Your funds may be used Your funds may be used for eligible for eligible dependent used for eligible ELIGIBLE healthcare expenses care expenses healthcare expenses EXPENSES You can invest funds You cannot invest You cannot invest when you maintain a your FSA funds your DCFSA funds certain balance INVESTING If you contribute to If you contribute to If you contribute to an HSA you may an FSA you may an DCFSA you may also contribute to a also contribute to a also contribute to an DCFSA DCFSA HSA or an FSA SIMULTANEOUS CONTRIBUTIONS