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Health Care FSA. A Health Care FSA allows employees to set aside pre-tax dollars out of their paychecks to pay for eligible health care expenses. Funds put into the plan avoid both Federal Income Tax and FICA, creating a tax savings for both the participant and the employer! request a quote.
There are several types of FSAs: 1  Health FSAs let you set aside pre-tax dollars for medical expenses. You and your employer may both contribute to the FSA. 2  Limited Health FSAs cover only dental and vision medical expenses. People who have a limited FSA already have an HSA to help cover other medical expenses.