What is the difference between a Health Spending Account and a Flexible Spending Account?

Question

My employer offers both options and I'm trying to decide which I want, prior to the date I am required to sign up.

Answer 1

HSAs do not expire year-over-year, grow tax free.  you must have a high-deductible health insurance plan to participate (ie if you have a 2000+ deductible before insurance kicks in - as opposed to a $20 co-pay)

FSA expire at year end (you lose the deposited money) (although you can submit after the end of the year - just make some purchase - like asprin)  You can submit your $20 co-pay against them, and things like eyeglasses, antacid, etc....

There are FSAs for child/elder care, and travel expenses too.