Pay Eligible Expenses with Pre-Tax Money

OU Health offers several tax-advantaged accounts that can help you save money when you pay eligible healthcare and/or dependent care expenses. Be sure to take a look at these options as you make your new hire enrollment decisions.

Flexible Spending Accounts (FSAs)

  • You can sign up for an FSA whether or not you enroll in OU Health medical, dental or vision coverage.
  • The money you contribute to an FSA comes out of your paycheck before most taxes are deducted (federal income tax, Social Security, Medicare and most state taxes).
  • You withdraw the money tax-free when you pay for eligible healthcare and dependent care expenses.

For more on the types of FSAs available, contribution limits, eligible expenses and other details, see Flexible Spending Accounts.

Health Savings Account (HSA)

  • The HSA is paired with OU Health’s high-deductible health plan options: HDHP 1 or HDHP 2.
  • The HSA offers a triple tax advantage: all contributions, withdrawals and investment income are tax free.
  • OU Health makes tax-free contributions to your HSA. The maximum annual company contribution for 2025 is $600 (for those with Individual medical coverage for the entire year) and $1,200 (for those with Family coverage for the entire year).
  • For new hires, the annual company contribution is pro-rated and deposited into your HSA at the beginning of each quarter that follows your hire date. For example, if your hire date is in February, you will receive three quarterly company contributions in your year of hire: the first in April, the second in July and the third in October. Each quarterly amount will be $150 (if you elect Individual medical coverage) or $300 (if you elect Family medical coverage).
  • You can also make contributions to your HSA (up to IRS annual limits). You elect the amount during enrollment and can change it at any time. The change will take effect in the next payroll cycle.

For 2025 HSA contribution limits and other details, see Health Savings Account.

Keep in mind…

  • Flexible spending accounts (FSAs) are use-it-or-lose-it accounts, with a limited exception for some healthcare FSA funds.
  • Health savings accounts (HSAs) are not subject to a use-it-or-lose-it rule. Your HSA funds are all yours, even if you leave or retire from OU Health.

For more details on the advantages and rules that apply to FSAs and HSAs, see Flexible Spending Accounts and Health Savings Account.

Want to See How an FSA and/or HSA Can Help?

Use the Flimp Decisions tool to compare your health plan options (see Step 2 in Your Enrollment Checklist). When you get your results, be sure to click the “Optimize your FSA” and “Optimize your HSA” links.

Visit Flimp Decisions now

Annual contribution limits

  • The health savings and flexible spending accounts (HSA and FSAs) each have annual contribution limits set by the Internal Revenue Service.
  • If you’re joining OU Health from another employer where you made HSA and/or FSA contributions this year, be sure to take those into account when you decide how much to contribute to an HSA and/or FSA at OU Health. All contributions you make in the same year, regardless of employer, count toward this limit.
  • Spouses covered by the same high-deductible health plan share one family HSA contribution limit. However, if you and your spouse each have your own “self only” coverage in a high-deductible health plan, each of you can contribute up to the individual limit to your separate HSAs.
  • You may want to check with a tax advisor about the contribution limits.

NEW HIRE ENROLLMENT CHECKLIST

  • Get a quick Benefits Overview
  • Compare your health plan options carefully
  • Consider your tax-advantaged account options
  • See how voluntary benefits could save you money
  • Think about your disability and life insurance needs
  • Enroll now (or within 30 days of your hire date)*

*You must enroll by 5 p.m. CT on the 30th day following your date of hire for coverage in a health plan, FSA, HSA, legal services plan, and/or supplemental, critical illness, hospital indemnity and/or accident insurance plan to take effect on your hire date. Otherwise, you waive coverage in these plans until the next Open Enrollment (or until you have a qualifying life event, if sooner).

Annual contribution limits

  • The health savings and flexible spending accounts (HSA and FSAs) each have annual contribution limits set by the Internal Revenue Service.
  • If you’re joining OU Health from another employer where you made HSA and/or FSA contributions this year, be sure to take those into account when you decide how much to contribute to an HSA and/or FSA at OU Health. All contributions you make in the same year, regardless of employer, count toward this limit.
  • Spouses covered by the same high-deductible health plan share one family HSA contribution limit. However, if you and your spouse each have your own “self only” coverage in a high-deductible health plan, each of you can contribute up to the individual limit to your separate HSAs.
  • You may want to check with a tax advisor about the contribution limits.