Lucky you! You probably got to this page because your company offers you the choice between contributing to an HSA or a healthcare FSA.
The rule of thumb is that you should choose an FSA if you have predictable medical expenses for the year (e.g. a planned surgery). You should choose an HSA if your medical expenses are less predictable.
What is a Health Savings Account (HSA) and why should I contribute to it?
An HSA lets you pay for qualified medical expenses using pre-tax dollars.
What is a Healthcare FSA and why should I contribute to it?
A Healthcare FSA is a pre-tax savings account used to pay for medical and dental expenses not paid for by your insurance.
What is a Limited Purpose FSA?
A limited purpose FSA is a pre-tax savings account used to pay for only dental and vision expenses not paid for by your insurance. Medical expenses are not covered. It has the same advantages and disadvantages of a healthcare FSA, but it’s only available if you’re enrolled in an HSA.