Health Care Flexible Spending Account (FSA)

A Health Care Flexible Spending Account (FSA) is a tax-advantaged account that allows you to set aside money for a wide range of eligible medical, prescription drug, dental, and vision expenses. The money you contribute is pre-tax, which can reduce your taxable income. When you use the funds for qualified expenses, the withdrawals are tax-free.

Tax advantages described here are for federal income tax purposes only. State income tax treatment of contributions and earnings may vary. Check with your tax advisor for more information.

• Eligibility

  Your eligibility for a Flexible Spending Account (FSA) depends on your medical plan enrollment. Generally, anyone can enroll in a Health Care FSA, regardless of whether you are enrolled in an Iron Mountain medical plan or waive coverage entirely.

  
  

  Eligibility rules:

  • If you waive medical coverage: You are eligible to enroll in the standard Health Care FSA (HCFSA).

  • If you enroll in the Select Network (EPO), Choice PPO, or Kaiser plan: You are eligible to enroll in the standard Health Care FSA (HCFSA).

  • If you enroll in the Enhanced or Basic HDHP: * If you do not enroll in the HSA, you may use the standard Health Care FSA.

  • If you do enroll in the HSA, you are prohibited by the IRS from having a standard Health Care FSA (If you elect both an HDHP with an HSA and a Health Care FSA, your FSA will automatically be a Limited Purpose FSA).

• How it works

  Here’s how you can use a Health Care FSA to pay for eligible medical, dental, and vision expenses with pre-tax dollars.

  
  

  Contribute

  During Open Enrollment, you elect your annual contribution amount.

  • 2026 Maximum Contribution: $3,400
  • Deductions: This amount is deducted from your paycheck in equal pre-tax installments throughout the year.
  • Changes: You can only change your contribution amount during the year if you experience a qualifying life event.

  
  

  Pay

  Use your Fidelity debit card for direct payments, or submit claims online for reimbursement. Required: Always save your itemized receipts and Explanation of Benefits (EOBs). The IRS requires these to verify that expenses are eligible.

  
  

  Spend (The "use-it-or-lose-it" rule)

  The HCFSA has strict IRS deadlines. You must incur (receive the service) and submit your claims online by the dates below, or you will forfeit the remaining funds.

  Plan year	Deadline to incur expenses	Deadline to submit claims
  2025 Balances	March 15, 2026	March 31, 2026
  2026 Balances	March 15, 2027	March 31, 2027

  Termination rule: If you leave Iron Mountain and do not continue your FSA through COBRA, you must incur all expenses prior to your termination date, though you still have until March 31st of the following year to submit those claims.

  
  

  Learn more

  • Eligible Expenses: For a full list of eligible expenses, view IRS Publication 502.
  • Legal Requirements: To review the legal requirements governing health FSAs, see IRS Publication 969.

For more information, contact Fidelity at 833-299-5089.