Flexible Savings Arrangements for a Healthy Robust America Act

This bill lets workers move money from a health FSA or HRA straight into their HSA when they sign up for a high‑deductible health plan after a significant period without that kind of coverage. There’s a cap on how much you can move, tied to the standard FSA limit, with a higher cap for certain coverage types. The FSA or HRA must change for the rest of the plan year so it no longer conflicts with HSA rules. The transfer may not fully count against your yearly HSA contribution limit, depending on how the FSA or HRA balance grew earlier in the year. Employers must also report these transfers on employees’ year‑end wage statements. These changes apply to transfers made after December 31, 2025.

Key points:

• Who is affected: People with a health FSA or HRA who are moving to a high‑deductible plan and opening or funding an HSA.
• What changes: Direct FSA/HRA-to-HSA transfers allowed; plan must become HSA‑compatible for the rest of the plan year; employers must report the transfer amount on wage statements.
• Limits: Transfers are capped at the FSA annual limit, with a higher cap for certain coverage types. Transfers may not fully reduce your annual HSA contribution room, based on how your FSA/HRA balance grew earlier in the year.
• When: Applies to transfers made after December 31, 2025.