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Limited FSAs for HSA owners

A limited flexible spending arrangement (FSA, or "flex account") is a pretax, money-saving option for people who have a high-deductible health plan (HDHP) and health savings account (HSA).

When you have an HSA, you are not eligible for a traditional health expense FSA.

Features of a limited FSA

  • Funds you set aside in a limited FSA are in addition to what you contribute to your HSA. You are setting more money aside before taxes.
  • By using your limited FSA to pay for some of your medical expenses, you allow more of your HSA money to stay in your account and grow tax-free.
  • You, your spouse and your dependents' expenses can be covered by your limited FSA.
  • Your employer sets the limit of what you can contribute to your FSA.
  • Just like a traditional FSA, when you don't use all the money you contribute in a plan year, you lose it when your next plan year starts.

What expenses will a limited FSA pay for?

A limited FSA can't be used to pay for dependent care. Before you meet your health plan's deductible, you can use it to pay for:
  • Dental services: Cleanings, fillings, crowns, orthodontics
  • Vision care: Contact lenses, eyeglasses, refractions, vision correction procedures
After you meet your health plan's deductible, the limited FSA can pay for any qualified expense that a traditional health care FSA can pay for, including coinsurance and copayments.
Go to the list of qualified expenses.

Getting reimbursements from your limited FSA

You'll have to fill out a Limited FSA withdrawal request form when you want to be reimbursed for your qualified expenses. Automatic reimbursement is not available. 
Learn more about reimbursement 
Fill out a Limited FSA withdrawal request form (157KB PDF)

 

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Last modified: 4/14/2011
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