HSA, FSA, and Commuter
iRhythm offers several ways to save on taxes while paying for healthcare, dependent care, and commuting expenses. Our Health Savings Account (HSA), Flexible Spending Accounts (FSAs), and Commuter Benefits allow you to set aside pre-tax dollars for eligible expenses—lowering your taxable income and stretching your dollars further.
HSA
Save pre-tax for medical, dental, and vision expenses (available with HDHP plans).
FSA
Set aside pre-tax dollars for healthcare or dependent care expenses, even if you’re not HSA-eligible.
Commuter Benefits
Use pre-tax dollars (up to $340 per month) for eligible transit and parking costs, making your daily commute more affordable.
By taking advantage of these pre-tax accounts, you can maximize your savings and make your money go further.
“Lower your taxable income and make your healthcare, dependent care, and commuting dollars go further.”
Health Savings Account (HSA)
What it is: A tax-advantaged savings account you can use to pay for eligible medical, dental, and vision expenses. Only available to employees enrolled in a Cigna HDHP plan (Cigna HDHP or Cigna HDHP Local Plus).
HDHP Required
You must be enrolled in Cigna HDHP or Cigna HDHP Local Plus, not covered by another plan, and not claimed as a dependent on someone else’s tax return.
Pre-Tax Contributions
Contribute pre-tax dollars to lower your taxable income. Interest or earnings are tax-free when used for qualified expenses.
Funds from iRhythm
iRhythm contributes to your HSA regularly. Contributions are prorated based on your start date.
Easy Access to Funds
Use a convenient debit card from WEX to pay for eligible expenses.
The Money Is Yours
HSA funds roll over year to year and remain yours even if you change jobs or plans. You can also save for retirement.
2027 HSA Contribution Limits
| Coverage Type | iRhythm HSA Maximum Contribution | Maximum Employee Contribution | 2027 Total Maximum Contribution | Age 55+ Catch-Up Contribution |
|---|---|---|---|---|
| Individual | $750 | $3,750 | $4,500 | Additional $1,000 |
| Family | $1,500 | $7,500 | $9,000 | Additional $1,000 |
Tip: You must re-elect your HSA contribution amount every year during Open Enrollment to continue participating.
Flexible Spending Accounts (FSA)
What it is: Flexible Spending Accounts allow you to set aside pre-tax dollars for eligible health or dependent care expenses. You must elect the annual amount you want to contribute to one or both accounts each year.
Use It or Lose It
Any funds you do not spend during the plan year will be forfeited, except a $680 rollover allowed for the Healthcare and Limited Purpose FSAs.
Grace Period
You can roll over $680 from your Healthcare or Limited Purpose FSA to the next year.
Mid-Year Changes
Contribution changes mid-year are only allowed with a Life Status Change Event.
No Transfers Allowed
You cannot transfer funds from one FSA to another.
Save up to $7,500 pre-tax on eligible childcare, preschool, and dependent care.
2027 FSA Comparison
| Feature | Healthcare FSA | Limited Purpose FSA | Dependent Care FSA |
|---|---|---|---|
| Who Can Use It? | Eligible employees not enrolled in an HSA | Employees enrolled in an HSA (dental and vision only) | All eligible employees |
| Pre-Tax Limit | Up to $3,400* | Up to $3,400* | Up to $7,500* ($3,750* if married and filing separately) |
| What You Can Spend It On | Medical, dental, and vision deductibles, copays, coinsurance | Dental and vision expenses only | Care for children under 13, disabled children, dependent adults |
*IRS limits are subject to change pending final IRS guidance.
Note: If the Dependent Care FSA does not pass certain IRS non-discrimination testing, election amounts may be changed. We will tell you if this applies to your situation.
Commuter Account
With iRhythm’s Commuter Benefit, you can set aside up to $340 month in pre-tax dollars to pay for eligible transit expenses and up to $340 month in pre-tax dollars to pay for eligible parking expenses. This lowers your taxable income and helps your commuting dollars go further.
What’s covered?
- Public transit (bus, train, subway, etc.)
- Parking expenses related to your commute
How it works:
- 1Enroll in your Commuter Account in Workday.
- 2Once enrolled, manage your account through WEX: benefitslogin.wexhealth.com
- 3Funds are deducted from your paycheck before taxes are applied
- 4Use your commuter account for qualified expenses—no receipts or claims needed for most purchases
Keep in mind:
Your deduction amount may vary from month to month based on taxes. You may also make changes or update your election amount at any time throughout the year. If your employment ends, any remaining funds stay in the account, and the account will close as of your termination date.
“Lower your taxable income on trains, buses, vanpools, and parking with direct payroll deduction.”
Key Reminders
Essential rules regarding account compatibility, annual re-elections, and tax advantages.
HSA vs. FSA
You cannot contribute to both a Healthcare FSA and an HSA in the same plan year. If enrolled in an HSA, you may only contribute to a Limited Purpose FSA.
Commuter Account
You can participate in the Commuter Benefit alongside your HSA or FSA. This account lets you set aside pre-tax dollars for eligible transit and parking expenses, helping you save on your commute.
Pre-Tax Advantage
HSA, FSA, and Commuter Accounts all reduce your taxable income, helping you keep more of your earnings.
Re-Election Required
You must re-elect your contribution amounts for each account during every Open Enrollment period.