FLEXIBLE SPENDING ACCOUNT (FSA) HEALTH SAVINGS ACCOUNT (HSA) Compatible Medical Plan $2,000 PPO Plan $7,000 HDHP Plan Who Can Participate? If you are enrolled in a qualified traditional PPO plan, you can enroll in an FSA account for qualified medical, dental and vision expenses. If you are enrolled in a qualified High- Deductible Health Plan (HDHP), you can enroll in an HSA account for qualified medical, dental and vision expenses. And as long as you are not... • covered by any other health plan that is not a qualified high- deductible plan • enrolled in Medicare, TRICARE, or TRICARE for Life • claimed as a dependent on someone else’s tax return 2025 Contribution Limits • No minimum per year • $3,300 maximum per year • No minimum per year • Employee Only: $4,300 max • Employee + 1 or more: $8,550 max If you are age 55 or older, you are allowed to contribute an additional $1,000 per year. Employer Contributions Your employer does not contribute to this account. Your employer will match up to $50 per month (up to $600 annually) Account Investments Funds in the FSA do not earn interest, and there are no investment options. HSA funds can be held in an interest- bearing account and may be invested in mutual funds upon reaching a minimum balance. Earnings grow tax- free! Availability of Funds The full FSA annual election amount is available at the start of the year. Only the balance of funds in the HSA is available. Paying for Eligible Expenses Expenses can be paid by: • FSA Debit Card • FSA Reimbursement Request Expenses can be paid by: • HSA Debit Card • Withdraw funds to reimburse yourself Saving Receipts Save your receipts and EOBs! You may be required to submit documentation of your expenses Save your receipts and EOBs! The IRS requires documentation of HSA withdrawals during a tax audit. Rollover Funds Pre-tax benefit that is “Use It or Lose It” You can rollover up to $660, but any additional funds remaining will be lost. All funds remaining in the account at the end of the year rollover. 9 Healthcare Budgeting