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New Member
posted Mar 20, 2023 4:30:45 PM

Is your flexable spending already taxed if it is not listed anywhere on your W-2?

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2 Replies
Level 15
Mar 20, 2023 4:47:11 PM

If you have a medical FSA, your employer should reduce your W-2 box 1 taxable wages by the amount of the FSA.  That's how you get a tax savings, because it is removed from your taxable income before you even start your tax return.  If you think your W-2 is not correct, check with your employer.

 

Then, you don't list the expenses you reimbursed with the FSA as expenses for the itemized deduction, and the FSA is not reported anywhere else on your tax return. 

 

If you have a Dependent Care FSA, that is supposed to be listed on your W-2 in box 10, and that will trigger Turbotax to ask about your dependent care expenses. 

Expert Alumni
Mar 20, 2023 4:50:18 PM

A flexible spending account is made with "pre-tax" dollars, money you put in prior to being taxed (like a 401-K Deferral). Generally health FSAs are not required to be reported separately on an employee's W-2

 

It would be reflected in the manner of reduced wages in Box 1 of your W-2.

 

A flexible spending arrangement (FSA) allows employees to get reimbursed for medical or dependent care benefits from an account they set up with pre-tax dollars. The salary-reduction contributions are not included in your taxable wages reported on Form W-2.


You aren't taxed on the amounts you or your employer contributes to the FSA.

 

Click here for additional information on Flexible Spending Accounts.