HSA vs FSA
|
|
HSA |
Health Care FSA |
|---|---|---|
|
Fund availability |
Funds available as you contribute
|
Get full annual amount on day 1 of plan year |
|
Fund expiration |
No use-it-or-lose-it, keep your money forever (even if you change health plans, jobs, or retire) |
Funds eventually expire if you don’t use them (though grace period or carryover extensions) |
|
Investing |
Invest your HSA tax-free, in an investment account |
Cannot invest FSA funds or grow your account |
|
Contribution changes |
Change or update anytime |
Only during enrollment or ‘qualifying life event’ |
|
Health plan type |
Requires HSA-qualified health plan |
Works with any health plan type, except HSA-qualified plan |
|
2025 Contribution limits |
$8,550 (Family plan) $4,300 (Individual plan) |
$3,300 (regardless of plan type) |
|
Account compatibility |
• Dependent Care FSA • Limited Purpose FSA |
• Dependent Care FSA
|