Can I Contribute to a Flexible Spending Account and a HSA?

Many people often wonder if they can contribute to both a Flexible Spending Account (FSA) and a Health Savings Account (HSA) at the same time. The answer to this question is a bit complex, but it ultimately depends on the type of FSA you have.

FSAs and HSAs are both tax-advantaged accounts that can help you save money on healthcare expenses, but they have some key differences:

• FSAs are offered through your employer and have a
  

  Are you trying to navigate the world of healthcare savings? You might be asking yourself, 'Can I contribute to both a Flexible Spending Account (FSA) and a Health Savings Account (HSA)?' It's a common question, and the answer hinges on the type of FSA you have.

  Let’s clarify: while both FSAs and HSAs provide you with the opportunity to save on healthcare costs, they are quite different. FSAs are employer-based and often use 'use-it-or-lose-it' rules, meaning funds may not roll over year after year. In contrast, HSAs are employee-owned accounts that can grow and be rolled over indefinitely, making them a smart long-term investment in your health.