A Comprehensive Employee Guide Understanding HSAs, FSAs, DCFSAs and LSAs

Overview Health Savings Accounts (HSAs), Flexible Spending Accounts (FSAs), Dependent Care Flexible Spending Account (Dependent Care FSA or DCFSA), and Lifestyle Spending Accounts (LSAs) are four types of Tax-Advantaged and Employer-Sponsored Spending Accounts that can help you save money or get reimbursed for certain health and wellness related expenses. Each account type has different rules,...

A Deep Dive on Wellness Spending Accounts (Podcast)

Health Savings Account (HSA) Guide

What is a Health Savings Account (HSA)? A Health Savings Account (HSA) is a special savings account you can use for health care expenses. It offers triple tax advantages: contributions are made pre-tax (or tax-deductible), the money in the account grows tax-free, and withdrawals are tax-free when used for qualified medical costs. Think of an...

Flexible Spending Account (FSA) Guide

What is a Flexible Spending Account (FSA)? A Flexible Spending Account (FSA) is an employer-sponsored account that lets you set aside pre-tax money from your paycheck to use on eligible expenses. The two most common types are Health Care FSAs (for medical-related expenses) and Dependent Care FSAs (for childcare or dependent adult care expenses). FSAs...

Dependent Care Flexible Spending Account (Dependent Care FSA or DCFSA) Guide

What is a Dependent Care Flexible Spending Account (Dependent Care FSA or DCFSA)? A Dependent Care Flexible Spending Account (Dependent Care FSA or DCFSA) is a pre-tax benefit account used to pay for eligible dependent care expenses, like daycare, preschool, and summer camps. It’s a powerful tool to help working parents and caregivers save money...

Lifestyle Spending Account (LSA) Guide

What is a Lifestyle Spending Account (LSA)? A Lifestyle Spending Account (LSA) is a relatively new type of employer benefit that provides reimbursements for various wellness or lifestyle expenses. Unlike HSAs and FSAs, LSAs are funded entirely by the employer – employees typically do not contribute their own money. Also, unlike the other accounts, LSAs...

Comparing Wellness Spending Options

Comparing HSAs, FSAs, and LSAs HSAs, FSAs, and LSAs each have distinct features. The infographic below highlights key differences between HSAs and FSAs (the two tax-advantaged health accounts). Notice differences in eligibility, ownership, contribution limits, and rollover rules. LSAs, which are not tax-advantaged medical accounts, differ even further – for instance, only employers fund them...