What Is a Flexible Spending Account?

A Flexible Spending Account (FSA) is a plan designed to help you manage the rising costs of health care by allowing you to set aside money to pay for out-of-pocket medical expenses. You can think of it as a personal account just for health care expenses.

You set aside money on a pre-tax basis — this means as long as you use the money for eligible medical expenses, you won’t pay income taxes on it. Download a list of eligible medical expenses or use our Election Worksheet to estimate your health care costs and decide how much to put in your FSA.

2024 FSA Maximum Contribution Limit: $3,200

Increase Your Take-Home Pay 

Paying fewer taxes means you keep more of the money you make. In the example pictured, Jane estimates she will spend $2,400 on medical expenses for herself next year. Here’s how she can save with an FSA.

Jane's Income/Expenses With FSA Without FSA
Jane's Annual Income $50,000 $50,000
Pre-Tax Contribution $2,400 $0
Jane's Taxable Income $47,600 $50,000
Taxes $11,900 $12,500
Jane's Take-Home Pay $35,700 $37,500
Out-of-Pocket Health Care Expenses 0 $2,400
Jane's Spendable Income $35,700 $35,100
Jane's Savings Each Year $600  

The savings amounts in the example are provided by Surency for illustrative purposes only. You may save more or less based on your own tax situation. Some states do not recognize these tax exclusions for this program. No part of this website is tax, financial, or legal advice. You should consult your own legal and tax advisers regarding your personal situation and whether this is the right program for you. 

How Does It Work? 

Participating in a Surency Flex FSA is easy.

  1. Once you’ve enrolled and set your annual election amount, that amount will be automatically deducted from your paycheck in equal increments throughout the year before you pay federal, state, and FICA taxes on the designated amount. Your entire election amount is available to you at the start of the Plan Year.
  2. When you are ready to use the money in your FSA for an eligible medical expense, just swipe your Surency Flex Benefits Card. If you don’t have a Surency Flex Benefits Card or you prefer to pay upfront then be reimbursed, you can file a claim electronically from the Member Account or the Surency Flex Mobile App, and you will be reimbursed with money from your FSA as long as you have funds available.
  3. To avoid forfeiting any money, make sure all funds in your FSA are used by the end of the year. 


FSA Election worksheet

Estimate your possible tax savings with our Flexible Spending Account (FSA) election worksheet.

Learn More