What is a Flexible Spending Account (FSA)?
by TurboTax • 
Updated December 18, 2025 2:58 PM
A flexible spending account (FSA) is an account you set up with pre-tax contributions to use for medical or dependent care expenses. These contributions aren't included in your taxable wages reported on Form W-2. You can pay from or be reimbursed from your FSA as you incur expenses.
FSA contributions aren't subject to federal income tax, Social Security tax, or Medicare tax, allowing your medical or dependent care expenses to be paid with pre-tax income rather than after-tax income.
