How do the health flexible spending account (FSA) and health reimbursement arrangement (HRA) rollovers to my HSA work?

The provision allows certain amounts in a health FSA or HRA to be distributed from the health FSA or HRA and contributed to an HSA without violating the otherwise applicable requirements for such arrangements. The amount that can be distributed from a health FSA or HRA and contributed to an HSA may not exceed an amount equal to the lesser of (1) the balance in the health FSA or HRA as of September 21, 2006 or (2) the balance in the health FSA or HRA as of the date of the distribution. Contributions must be made directly to the HSA before January 1, 2012.

The provision is limited to one distribution with respect to each health FSA or HRA of the individual. The amount of this FSA rollover will not decrease your maximum allowable HSA contribution. More.

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