Overview
Using a Health Savings Account (HSA) or Flexible Spending Account (FSA) for eligible expenses is like getting a discount because you’re paying with tax-free money. These accounts are administered by WEX. Lineage offers a Health Savings Account (HSA) for those enrolled in the HDHP, two Flexible Spending Account (FSA) options and a commuter benefit. You can enroll through Workday as a new hire, during Open Enrollment or if you have a Qualifying Life Event.
Key features
Tax-free money
Money goes in tax-free* and comes out tax-free when it’s used for eligible out-of-pocket expenses.
Convenient payroll deductions
Contribute to your accounts easily and effortlessly.
Helpful budgeting tool
Plan for upcoming expenses by setting aside money each paycheck.
* Consult with your tax advisor to understand the potential tax implications of enrolling in an HSA or FSA.
2025/2026 savings and spending accounts
Health Savings Account (HSA)
Covers eligible medical, dental and vision expenses and includes an employer contribution. Available only to team members who enroll in the HDHP.
Healthcare Flexible Spending Account (FSA)
Covers eligible medical, dental and vision expenses. Available to team members who enroll in the Premium Plus PPO or Premium PPO plans, the Kaiser Permanente DHMO Plan (California only) and those who do not elect medical coverage through Lineage.
Limited Purpose Flexible Spending Account (FSA)
Covers eligible dental and vision expenses only. Available to team members who enroll in the HDHP with an HSA.
Dependent Care Flexible Spending Account (FSA)
Covers eligible dependent care expenses such as day care, after-school care or home care for dependents 13 or under. Available to all team members.
Commuter Benefit
Covers eligible transportation, parking and vanpool expenses. Available to team members in select areas.
What’s eligible?
The IRS determines what expenses can be paid with money from an HSA or FSA. Learn more about the eligible expenses for each account:
How much could you save?
Here’s an example. Let’s say Tom decides to set aside $2,000 in an HSA or FSA for the year. Normally, on that money, he’d pay $480 in federal income tax, $100 in state income tax and $153 in payroll tax. So, by contributing that $2,000 to his HSA or FSA, he’ll save $733 in taxes for the year.
| Without an HSA or FSA, Tom would pay … | Savings |
|---|---|
| 24% in federal income tax………………………………………………………. | $480 |
| 5% in state income tax*…………………………………………………………. | $100 |
| 7.65% in payroll tax…………………………………………………………..……. | $153 |
| His total tax savings for the year with an HSA or FSA ………….......... | $733 |
This hypothetical example is for educational purposes only. Dollar amounts or savings will vary depending on income, state and city tax rules and other factors. Please consult a tax, legal or financial advisor about your own personal situation.
Consult with your tax advisor to understand the potential tax implications of enrolling in an HSA or FSA.
Health Savings Account (HSA)
With the High Deductible Health Plan (HDHP) with Health Savings Account (HSA), you’re eligible to open and contribute money to an HSA through WEX. The HSA is a tax-free savings account that you own. You can choose to spend the money right away as eligible health expenses come up or save it for the future — you can even use it in retirement.
Get a triple tax advantage!
*HSA contributions are not subject to federal income tax, but are currently subject to state income tax in CA and NJ. Money in an HSA can be withdrawn tax-free as long as it is used to pay for qualified health-related expenses. If money is used for ineligible expenses, you will pay ordinary income tax on the amount withdrawn, plus a 20% penalty tax if you withdraw the money before age 65.
2025 contribution limits
The maximum amount you and Lineage can contribute to your HSA is determined by annual IRS limits. In 2025, the total contribution limits are:
- $4,300 if you have individual medical plan coverage, or
- $8,550 if you cover dependents.
Add $1,000 to these limits if you’re age 55 or older.
Keep in mind that the contribution amount you’re able to elect for the year will be reduced by the amount of Lineage’s annual contribution: $250 if you have individual medical plan coverage or $500 if you cover dependents. The employer contribution is made over time, with a proportional amount deposited into your HSA every paycheck. Both your contributions and Lineage’s contributions count towards the IRS contribution limits.
Who’s eligible for an HSA?
In order to establish and contribute to an HSA, you:
- Must be enrolled in the HDHP
- Actively elect the HSA
- Cannot simultaneously participate in the Healthcare FSA (but participation in a Limited Purpose FSA is allowed)
- Cannot be enrolled in any other medical coverage, including a spouse’s plan or Medicare
- Cannot be claimed as a dependent on someone else’s tax return
You should review IRS rules for making HSA contributions if you will turn age 65 during the year. For more information, see IRS Publication 969.
Increase your tax savings with a Limited Purpose FSA.
Use your HSA together with a Limited Purpose FSA for additional tax savings. With the Limited Purpose FSA, only dental and vision expenses are allowed.
Getting started
To contribute to an HSA, you must enroll in the HDHP and the HSA during enrollment. Team members will not be automatically enrolled and will not automatically receive the employer contribution without electing the HSA first. You will actively elect your HSA and choose your contribution amount during enrollment, but can change it anytime during the year. After you enroll in the HSA, you will receive an email from WEX with a link to register for an online account. Upon initial login, you will be required to review and accept the Terms and Conditions. Debit cards will be mailed to your home within 10-14 days of WEX processing your enrollment. You can then manage your account through the WEX website.
As you start using your account, keep in mind you can only spend money actually deposited into your account — your entire annual contribution amount is not available to you from the beginning of the plan year. Your HSA balance will grow as deposits are made from each paycheck. The employer contribution is made over time, with a proportional amount deposited into your HSA every paycheck.
Healthcare Flexible Spending Accounts (FSAs)
There are two FSAs available to you, depending on your medical plan. These accounts are administered by WEX.
- A Healthcare FSA is available to team members who enroll in the Premium Plus PPO, Premium PPO and DHMO, or do not elect medical coverage. This account can be used for all eligible medical, dental and vision expenses, such as:
- Copays when you visit your medical, dental or vision providers
- Hearing aids
- Eyeglasses, contact lenses or Lasik surgery
- Orthodontia expenses
- Prescriptions
- And more!
- A Limited Purpose FSA is available only to team members who enroll in the High Deductible Health Plan (HDHP) with Health Savings Account (HSA). Adding a Limited Purpose FSA offers additional tax-saving opportunities. This account can be used only for eligible dental and vision expenses.
You can contribute up to $3,300 for the year through pre-tax payroll deductions. Note: You must enroll in these accounts every year during the Open Enrollment period if you want to roll over your prior FSA amount (up to $660) and contribute to the next plan year, even if you already have an account.
Setting up and managing your account
If you are a first-time enrollee in the Healthcare FSA or Limited Purpose FSA, you will receive an email from WEX with a link to register for an online account, along with a debit card sent to your mailing address. If you currently have a benefit debit card for the Lineage FSA plan, you will not get a new one unless your current card has expired.
Request reimbursement and manage your account on the WEX website.
How the Healthcare and Limited Purpose FSAs work
Use your money!
*FSA funds are “use it or lose it.” You can carry over up to $660 of unused money in your FSA to the next year, as long as you actively enroll in the FSA the following plan year. You will forfeit any remaining amount above $660 that is not spent and reimbursed by June 30.
Please Note: If you enroll in the account by accident, Lineage is not able to reimburse the funds that were contributed to the account.
Visit wexinc.com/discovery-benefits/ or call 1-866-451-3399 for more information.
Dependent Care Flexible Spending Account
A Dependent Care Flexible Spending Account (FSA) allows you to pay less for child and elder care expenses by using tax-free dollars. The Dependent Care FSA is available to all team members. Contribute through pre-tax payroll deductions to help cover your eligible dependent care expenses, including day care, after-school care or home care for dependent children under 13 who live with you and for whom you provide more than 50% support. You can also use these funds for care for any dependent living with you who is physically or mentally incapable of caring for him/herself.
You can contribute up to $5,000 each year if you are married and file a joint return or file a single or head of household return, and you can contribute $2,500 if you are married and file separate returns. Note: You must enroll in this account every year during the Open Enrollment period if you want to contribute the next plan year, even if you already have an account.
Use your money!
The money in your Dependent Care FSA does not carry over to the next plan year; you must “use it or lose it.” Request reimbursement or manage your account on the WEX website.
How the Dependent Care FSA works
The Dependent Care FSA is not for medical expenses.
You can use these funds to pay for expenses like preschool, summer day camp, before or after school care, etc. If you have questions about the difference between the Healthcare and the Dependent Care FSA, call 1-844-537-5300 or email benefits@onelineage.com.
Please Note: If you enroll in the account by accident, Lineage is not able to reimburse the funds that were contributed to the account.
Visit wexinc.com/discovery-benefits/ or call 1-866-451-3399 for more information.
Compare Accounts
| HSA | Limited Purpose FSA | Health Care FSA | Dependent Care FSA | |
|---|---|---|---|---|
| Available with... | HDHP only | HDHP only | Premium Plus PPO, Premium PPO and DHMO (Or, if you waive medical coverage) | N/A (All who are benefits-eligible may enroll) |
| Lineage contributes? | Yes | No | No | No |
| Change your contribution amount anytime? | Yes | No | No | No |
| Access your entire annual contribution amount as needed? | No | Yes | Yes | No |
| Access only funds that have been deposited? | Yes | No | No | Yes |
| Use account money for… | All eligible health care expenses | Only eligible dental and vision expenses | All eligible health care expenses | Eligible dependent care expenses, including child care for children up to age 13 and care for dependent elders |
| “Use it or lose it” at year-end? | No, money rolls over each year, even if you leave Lineage | Yes (Carry over up to $660, amounts above $660 will be forfeited) | Yes (Carry over up to $660, amounts above $660 will be forfeited) | Yes, unused money does not carry over and will be forfeited |
| Money is always yours to keep? | Yes | No | No | No |
Commuter Benefits
By contributing to a Commuter Benefit account, you can receive significant savings on your daily commute, keeping more money in your pocket. Set aside pre-tax dollars from your paycheck to help pay for eligible monthly transportation, parking and vanpool expenses.
What does it cover?
Commuter funds can be used on a variety of transportation and parking expenses that allow you to travel to and from work. Eligible modes of transportation include but aren’t limited to:
- Train
- Bus
- Subway
- Ferry
- Vanpool (must seat at least 6 adults)
- Parking or parking meter near Lineage office
Who is eligible for the Commuter Benefit?
To be eligible, you must work in Washington, D.C., San Franscisco, Seattle, New Jersey, New York City or the Chicago metropolitan area.
How to use your Commuter Benefit
Your funds roll over month to month
Funds will continue to roll over until they are used, but will no longer be available if you terminate employment.
Visit wexinc.com/discovery-benefits/ or call 1-866-451-3399 for more information.