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Kiplinger
Kiplinger
Business
Roxanne Bland

New IRS Changes to FSA Contribution Limits for 2026: What to Know

Rendering of a stethoscope with a dollar sign on it.

Do you have or are you thinking about opening a Flexible Spending Account (FSA)? Here’s a potentially good reason to consider it. The IRS recently raised the limits on tax-advantaged healthcare and dependent care contributions.

With an FSA, employees can make payroll deposits into their accounts to build a cushion to pay insurance deductibles or pay for qualifying medical expenses, or other items not covered by insurance.

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