# Health flexible spending arrangement

> Health flexible spending arrangement — A cafeteria-plan account the employee funds by salary reduction for the year's medical costs — up to $3,400 for 2026 — which is use-or-lose, softened by a grace period or a carryover of up to $680.

Source: https://lopifi.com/glossary/health-flexible-spending-arrangement
Part of: Lopifi — US GAAP books on autopilot, checked by a CPA (https://lopifi.com)

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**What is health flexible spending arrangement?** In accounting, health flexible spending arrangement means a cafeteria-plan account the employee funds by salary reduction for the year's medical costs — up to $3,400 for 2026 — which is use-or-lose, softened by a grace period or a carryover of up to $680.

## Also known as

- Health FSA

## Words this system refuses for it

- HSA

- **Category:** Benefits
- **Specified in:** [Lexicon](https://lopifi.com/md/docs/domain/11-lexicon)
- **Related:** account, period