Flexible Spending Account basic information

A Flexible Spending Account (FSA) is a pre-tax savings account that you can use to pay for eligible medical expenses.


How does the money move?

What happens at the end of the plan year, or when an employee leaves the company?

Pre-tax deductions are then taken from the employee’s payroll throughout the year to repay the employer for those upfront costs. Health FSA funds expire if they aren't used by the end of the plan year unless the company offers extension options such as rollover or grace period.

If your FSA is managed by Gusto, visit your Gusto Benefits Card Manager portal to review transactions, claims, and more. If your FSA is not managed by Gusto, add the benefit to take pre-tax deductions to payroll and manage the funds externally.