You can put up to $3,500 into a health FSA in 2027, up from $3,400. If your plan allows it, up to $700 left at the end of the year carries into the next.
Tax saved on $3,500
$1,213| Plan year | Health FSA limit | Most that carries over | IRS source |
|---|---|---|---|
| 2027 | $3,500 | $700 | Rev. Proc. 2026-35 |
| 2026 | $3,400 | $680 | Rev. Proc. 2025-32 |
| 2025 | $3,300 | $660 | Rev. Proc. 2024-40 |
| 2024 | $3,200 | $640 | Rev. Proc. 2023-34 |
| 2023 | $3,050 | $610 | Rev. Proc. 2022-38 |
| 2022 | $2,850 | $570 | Rev. Proc. 2021-45 |
| 2021 | $2,750 | $550 | Rev. Proc. 2020-45 |
Carryover is the most of one plan year’s unused money that can move into the next, when the plan allows it. Source: IRS Rev. Proc. 2026-35 and the Revenue Procedures listed for earlier years.
Source: IRS Rev. Proc. 2026-35, data through 2027.
insytesBI. (2027). FSA limit 2027: $3,500. Data: IRS Rev. Proc. 2026-35, 2027. https://www.insytesbi.com/fsa-limit/<a href="https://www.insytesbi.com/fsa-limit/">FSA limit 2027: $3,500</a>$3,500 of salary you can put into a health flexible spending account for plan years starting in 2027, up from $3,400 in 2026 (IRS Rev. Proc. 2026-35). The limit is per employee, so a married couple with FSAs at work can each put in $3,500.
Up to $700 of unused 2027 money, if your plan allows a carryover. Some plans offer a grace period of up to 2½ months instead, and some offer neither, so check your plan before the year ends.
$7,500 per household, or $3,750 if you are married and file separately. It rose from $5,000 starting in 2026 and is set by law (Internal Revenue Code section 129), not adjusted for inflation.
Money you put in skips federal income tax, Social Security and Medicare tax (7.65%), and state income tax in most states. In the 22% bracket with a 5% state tax, every $1,000 saves about $347.
$350 a month for transit passes and vanpools, and a separate $350 a month for work parking, both before tax ($340 each in 2026).
Only a limited-purpose FSA that covers dental and vision costs, alongside a health savings account. A general health FSA makes you ineligible to put money into an HSA.