Flexible Spending Account limits rose modestly for 2026. The health care FSA limit is now $3,400 per employee, up from $3,300 — and that's a per-person limit, meaning if both spouses have access to their own employer FSA, each one can contribute up to $3,400 independently. * FSAs run on a "use it or lose it" principle stricter than HSAs, but there's a partial escape hatch: employers can allow a carryover of unused funds into the next year, and that carryover cap rose to $680 for 2026. The catch is that an employer can only offer either a carryover or a grace period to spend leftover funds — never both at the same time — so check which one your specific plan uses. * Dependent Care FSAs, which cover childcare and eldercare costs so you can work, run under separate rules entirely. The 2026 maximum is $7,500 per household, or $3,750 if you're married and filing taxes separately from your spouse — a limit set by law rather than adjusted for inflation each year like the health FSA. * Because FSA elections are typically locked in during your employer's open enrollment and can't be changed mid-year without a qualifying life event, it's worth estimating your medical and dependent care costs carefully before committing to a contribution amount for 2026.