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How HSA and FSA Accounts Can Help Cover Healthcare Costs While health insurance can limit the amount of money you will need to pay when you seek medical treatment, you may find yourself covering a portion out of pocket. According to Statista, in the US, the average annual health cost per person is $1,233 or $4,932 for a family of 4. Dealing with a big stack of medical bills is enough to make even the strongest stomach feel queasy. The good news is that if you plan properly, you can take charge of how you manage out of pocket medical expenses. Having a bit tucked away to cover medical expenses is one of the best ways to take the stress out of being sick. Health Savings Accounts and Flex Spending Accounts offer convenient ways to spend pre-tax money on things that are not covered by your health plan. There are some differences between the two types of plans, so it is important to know which is appropriate and available to you. Flex Spending Accounts (FSA) Flex Spending can be designated for two common uses, dependent care and medical related costs. For this blog we will focus on FS As for medical and dental expenses. Both employers and employees can contribute. Employers maintain the ownership of the account and they can be restrictive. Contribution limits are generally quite low, you can only make changes annually and amounts saved can be forfeited if you leave your job or do not spend what you have saved by the end of year. You do not need to use a high deduc...
