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New Member
posted Jun 29, 2020 4:23:53 PM

Where do I enter my FSA tax contribution? Does it go under medical expenses?

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1 Best answer
Level 15
Jun 29, 2020 5:26:11 PM

A medical FSA is not reported on your W-2.  In fact, it is not reported anywhere on your tax return.   (This means, for example, there is no penalty for misusing the money.  This is because the IRS places the burden of compliance on the plan trustee and not you.)

 

If you list your medical expense deductions, Turbotax will ask for all your medical expenses, then will ask for all your reimbursements (including regular insurance, FSA and so on).  This is not because the FSA is reported on your tax return, but because Turbotax is designed so that you will simply enter everything and let the program figure out what do with it.  Medical expenses paid from an FSA may not be used as a tax deduction since they were already paid with tax-free money, but the program is designed to do that for you. 

3 Replies
Expert Alumni
Jun 29, 2020 4:42:31 PM

You do not need to make a separate entry for the contributions you made to your flexible spending account (FSA).  These amounts should show up on your W-2 and are taken care of when you enter your W-2.    

Level 15
Jun 29, 2020 5:26:11 PM

A medical FSA is not reported on your W-2.  In fact, it is not reported anywhere on your tax return.   (This means, for example, there is no penalty for misusing the money.  This is because the IRS places the burden of compliance on the plan trustee and not you.)

 

If you list your medical expense deductions, Turbotax will ask for all your medical expenses, then will ask for all your reimbursements (including regular insurance, FSA and so on).  This is not because the FSA is reported on your tax return, but because Turbotax is designed so that you will simply enter everything and let the program figure out what do with it.  Medical expenses paid from an FSA may not be used as a tax deduction since they were already paid with tax-free money, but the program is designed to do that for you. 

Not applicable
Jun 29, 2020 6:33:20 PM

your employer should have reduced your wages (line 1 of w-2) for anything taken out of your paycheck that went into your FSA.   in addition an employer may put in its own money.   this contribution is tax-free. Therefore you get no deduction for the amount you put in.   any money taken out of the FSA to pay qualified medical expenses is not deductible.