Vivinavi : Los Angeles : (United States) Los Angeles

Hot List

Difference between FSA and HSA and Savings ・ Tax Savings

To help you stay healthy and reduce the cost of health care, the United States offers two important health care savings tools: the Flexible Spending Account （ FSA ） and the Health Savings Account （ HSA ）. These accounts are designed to help you cover medical expenses through tax benefits and each has its own specific rules and benefits.

FSA （ Flexible Spending Account ） What is a ？

FSA is a type of employer-sponsored health care savings plan that allows employees to pay for annual medical and child care expenses out of pre-tax income The account allows employees to pay for their annual medical and child care expenses out of their pre-tax income. Employees have a pre-determined amount deducted from their paycheck and credited to their FSA account. These funds can be used to pay for medical and approved child care expenses.

FSA Benefits

1. Tax Savings: The amount you contribute to the FSA is deducted from your pre-tax income and is therefore not subject to income tax or FICA tax （ Social Security and Medicare taxes ）.
2. Convenient Payments: You can use your FSA debit card to pay directly for medical and child care expenses.

↓ Click here to read more ！

https://www.hkstanfield.com/blog/fsahsa/