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HSA, Limited Purpose FSA, FSA…What’s the Difference?
To help you understand the differences between the Health Savings Account (HSA), Limited Purpose Flexible
Spending Account (LFSA), and Healthcare Flexible Spending Account (FSA), please review chart below.
Health Savings Account Limited Purpose Flexible Healthcare Flexible
Plan Feature (HSA) Spending Account (LFSA) Spending Account (FSA)
Who is eligible? Eligible employees enrolled in Eligible employees who are Eligible employees who are
the HSA 1350 Plan who are enrolled in the HSA 1350 Plan. NOT enrolled in the HSA
under age 65, not covered 1350 Plan.
under another health plan
or Healthcare FSA, and not
claimed as a dependent on
another person’s tax return.
Who owns the account? You GLG GLG
Who administers the Fidelity Chard Snyder Chard Snyder
account?
Who can contribute to the You and GLG You You
account?
How much can be GLG will contribute up to You can contribute up to You can contribute up to
contributed to the account $1,012.50 for individual $2,650 $2,650
in 2019? coverage and $2,025 for
dependent coverage
You can contribute up to
$2,487.50 for individual
coverage $4,975 for
family coverage
Age 55-65 may contribute an
additional $1,000 (Catch-Up
Contribution)
Are mid-year changes to Yes, at least monthly No, unless you have a No, unless you have a
contributions allowed? qualiied life event. qualiied life event.
When are the funds As they are deposited from January 1 or your effective January 1 or your effective
available? your payroll deduction. date in the plan. date in the plan.
What happens to funds at Unused funds carry over Up to $500 will rollover into the Up to $500 will rollover into the
the end of the plan year? from year to year, with no next years FSA in early January. next years FSA in early January.
limitations. Rollover amounts will be added Rollover amounts will be added
to your next year election and to your next year election and
are not impacted by the FSA are not impacted by the FSA
cap. You will have until March cap. You will have until March
31 of the next year to submit 31 of the next year to submit
claims for the previous year. claims for the previous year.
Can you take the account Yes No. You may submit claims No. You may submit claims
with you if you leave incurred prior to your incurred prior to your
GLG? termination date. You have 90 termination date. You have 90
days following termination to days following termination to
submit those claims. submit those claims.
What are your tax Your payroll contributions, Your payroll contributions are Your payroll contributions are
advantages? qualiied withdrawals, and deducted pre-tax. deducted pre-tax.
interest earned are tax-free.
* You are not required to set up an HSA, but you can only make pre-tax contributions and receive the employer contribution if you open the account.
Information on accounts, visit http://www.irs.gov/pub/irs-pdf/p969.pdf
Information regarding qualiied medical expenses, visit http://www.irs.gov/pub/irs-pdf/p502.pdf
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To help you understand the differences between the Health Savings Account (HSA), Limited Purpose Flexible
Spending Account (LFSA), and Healthcare Flexible Spending Account (FSA), please review chart below.
Health Savings Account Limited Purpose Flexible Healthcare Flexible
Plan Feature (HSA) Spending Account (LFSA) Spending Account (FSA)
Who is eligible? Eligible employees enrolled in Eligible employees who are Eligible employees who are
the HSA 1350 Plan who are enrolled in the HSA 1350 Plan. NOT enrolled in the HSA
under age 65, not covered 1350 Plan.
under another health plan
or Healthcare FSA, and not
claimed as a dependent on
another person’s tax return.
Who owns the account? You GLG GLG
Who administers the Fidelity Chard Snyder Chard Snyder
account?
Who can contribute to the You and GLG You You
account?
How much can be GLG will contribute up to You can contribute up to You can contribute up to
contributed to the account $1,012.50 for individual $2,650 $2,650
in 2019? coverage and $2,025 for
dependent coverage
You can contribute up to
$2,487.50 for individual
coverage $4,975 for
family coverage
Age 55-65 may contribute an
additional $1,000 (Catch-Up
Contribution)
Are mid-year changes to Yes, at least monthly No, unless you have a No, unless you have a
contributions allowed? qualiied life event. qualiied life event.
When are the funds As they are deposited from January 1 or your effective January 1 or your effective
available? your payroll deduction. date in the plan. date in the plan.
What happens to funds at Unused funds carry over Up to $500 will rollover into the Up to $500 will rollover into the
the end of the plan year? from year to year, with no next years FSA in early January. next years FSA in early January.
limitations. Rollover amounts will be added Rollover amounts will be added
to your next year election and to your next year election and
are not impacted by the FSA are not impacted by the FSA
cap. You will have until March cap. You will have until March
31 of the next year to submit 31 of the next year to submit
claims for the previous year. claims for the previous year.
Can you take the account Yes No. You may submit claims No. You may submit claims
with you if you leave incurred prior to your incurred prior to your
GLG? termination date. You have 90 termination date. You have 90
days following termination to days following termination to
submit those claims. submit those claims.
What are your tax Your payroll contributions, Your payroll contributions are Your payroll contributions are
advantages? qualiied withdrawals, and deducted pre-tax. deducted pre-tax.
interest earned are tax-free.
* You are not required to set up an HSA, but you can only make pre-tax contributions and receive the employer contribution if you open the account.
Information on accounts, visit http://www.irs.gov/pub/irs-pdf/p969.pdf
Information regarding qualiied medical expenses, visit http://www.irs.gov/pub/irs-pdf/p502.pdf
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