FSA Contribution & Tax Savings Calculator
Calculate Flexible Spending Account contribution limits, tax savings, and use-it-or-lose-it risk analysis.
FSA Type & Enrollment
Income & Contributions
Employer Plan Features
IRS allows carry-over up to $660 (2026) OR grace period. Employer chooses which to offer.
2026 FSA Contribution Limits
FSA TypeHealth FSA
IRS Limit (2026)$$3300
Your Planned Contribution$$2500.00
Total Contributions$$2500.00
StatusWithin IRS Limit
Tax Savings Analysis
Total FSA Contributions$$2500.00
Federal Tax Savings (22%)$$550.00
State Tax Savings (5%)$$125.00
FICA Savings (7.65%)$$191.25
Total Tax Savings$$866.25
Effective Tax Savings Rate34.6%
Net Cost After Savings$$1633.75
Use-it-or-Lose-it Analysis
Total Contributions$$2500.00
Expected Expenses$$2000.00
Potential Forfeiture$$500.00
High Forfeiture Risk
You risk forfeiting $$500.00 if not spent by year-end. Use carry-over ($$0) or grace period (March 15, 2027) if available. Reduce contribution to match expected expenses. Estimate carefully to avoid losing funds.
Qualified Expenses - Health FSA
- - Doctor visits, copays, deductibles
- - Prescription medications
- - Medical equipment, supplies
- - Dental care (not cosmetic)
- - Vision care, glasses, contacts
- - Mental health services
- - Chiropractic, acupuncture (some plans)
- - Over-the-counter meds (no prescription needed since 2020)
FSA vs HSA Comparison
FSA Disadvantages
Use-it-or-lose-it
Not portable
No investment option
Employer controls
HSA Advantages
No use-it-or-lose
Portable (you own it)
Investment option
Triple tax advantage
If eligible for HSA (HDHP enrolled), HSA is generally superior. FSA useful if not HDHP eligible or need dependent care.
Recommendation
Contribution matches expenses well. Tax savings: $${totalTaxSavings.toFixed(2)}.
FSA Rules Summary
Contribution deadline: Elect during open enrollment. Contribution limit: $3,300 health, $5,000 dependent care. Use deadline: December 31 (or March 15 with grace period). Carry-over: Up to $660 if employer allows (OR grace period). Employer contribution: May contribute to your FSA. Tax savings: Pre-tax contributions reduce federal, state, FICA. Not portable: FSA ends if you leave job (except some plans allow spending).
Key Points
FSA: Use-it-or-lose-it unless carry-over/grace period. Health FSA: No HDHP required (unlike HSA). Dependent Care FSA: For childcare/elder care while working. Tax savings: 30%+ effective savings on contributions. Estimate carefully: Forfeiture risk. Check employer plan: Carry-over and grace period options vary. HSA better: If HDHP eligible, prefer HSA over Health FSA.