Configure Inputs

$75.00K
$
$30.00K$200.00K
$2.85K
$
$500.00$3.20K
22%
%
1037
5%
%
013

Total Annual Tax Savings

$988

34.6% effective discount on expenses

Federal

$627

State

$143

FICA

$218

Monthly Budget Planning

Monthly Contribution

$237.50

Annual Budget

$2,850

Carryover Allowed

$610

2024 health FSA carryover limit

FSA Rules:

  • Use-it-or-lose-it (except $610 carryover for health FSA)
  • Pre-tax contributions reduce taxable income
  • Can't change contribution mid-year (except qualifying life events)

Deep Dive & FAQ

Tax Savings with Flexible Spending Accounts

Flexible Spending Accounts (FSAs) allow you to pay for healthcare and dependent care with pre-tax dollars. However, the 'use-it-or-lose-it' rule makes accurate planning essential.