HSA vs FSA for Health Expenses
**HSAs** require a high-deductible health plan, roll over forever, and can be invested. **FSAs** are use-it-or-lose-it (with limited carryover) but work with more plan types.
Step by step
1. Confirm eligibility
HDHP required for HSA; FSA via employer plan.
2. Model expected expenses
Predictable copays may favor FSA; savers favor HSA.
3. Max employer match
Some employers seed HSA contributions.
HSA vs FSA
HSA is triple tax-advantaged when used for qualified medical costs.
- HSA: Portable; investable; HDHP required.
- FSA: Payroll deduction; annual use rules.
Use our calculators
Common mistakes
- Leaving FSA money unspent
- Not investing long-term HSA balances
FAQ
Can I have both?
Limited combinations—general FSA usually blocks HSA.