How much should I consider putting into an HSA or healthcare FSA?

Start with your budget

Employee healthcare FSA contributions generally come through an employer’s payroll arrangement. HSA contributions can also come directly from your personal bank account. Choose an amount that still leaves enough for rent, food, and other needs.^[1]

Healthcare FSA: plan for expected costs

List costs you expect in the plan year: copays, prescriptions, glasses, dental work, or a planned procedure. Then subtract money from other sources, such as employer FSA money or a carryover from last year.

For plan years starting in 2026, you can put in up to $3,400.^[2] If your plan has a carryover, up to $680 of unused 2026 money can move into 2027.^[2] Other plans offer a grace period instead, or neither.^[1] Ask your employer which applies.

HSA: stay under the limit

For 2026, the limit is $4,400 for self-only and $8,750 for family coverage, plus $1,000 if you are 55 or older.^[3] For 2027, the IRS has announced $4,500 and $9,000.^[4] Employer contributions count toward the limit.^[1]

If you are not eligible for the whole year, your limit is usually lower. If you will enroll in Medicare, your limit becomes zero starting that month, including months when Medicare coverage is backdated.^[1]

Keep records

Save receipts and EOBs. You cannot be reimbursed twice for the same expense, such as from both an FSA and an HSA, or also claim it as a tax deduction.^[5]