Legislative Updates for FSA’s 2021

On October 26, 2020, the IRS announced the new limits for 2021 with respect to Health FSAs, Transportation/Commuter Plans, and Qualified Parking Plans as listed below:

 

Type of Plan 2020 2021
Health FSA $2,750/annual No Change
Dependent Care FSA $2,500 or $5,000*/annual No Change
Transportation/Commuter Plan $270/month No Change
Parking Plan $270/month No Change

*$2,500 for married individuals filing separate tax returns and $5,000 for married individuals filing joint tax returns or for unmarried individuals.