Health Insurance
LPFSA (Limited Purpose FSA)
An LPFSA lets HSA holders enjoy FSA tax benefits for dental and vision costs without disqualifying their HSA.
Last reviewed: May 2026 · Editorial methodology
Definition
A Limited Purpose Flexible Spending Account (LPFSA) is a specialized FSA designed for individuals who are already contributing to a Health Savings Account (HSA). Because having a standard FSA alongside an HSA would disqualify you from making HSA contributions, the LPFSA restricts reimbursable expenses to dental and vision costs only, keeping the HSA fully intact. The 2026 contribution limit mirrors the standard FSA limit at $3,300 per employee. LPFSA funds, like regular FSA funds, are generally use-it-or-lose-it within the plan year unless the employer offers a grace period or limited rollover. This account is particularly useful for families with significant dental work or vision expenses who want to preserve their HSA balance for medical costs or long-term investment. After meeting the HDHP deductible in a given year, some plans allow the LPFSA to convert to a general-purpose FSA, though this varies by plan design.
Where this term matters
💡 Tip
Related terms
Related guides
Cover Forge USA Editorial Team
Editorial Lead
This article was researched and written by the Cover Forge USA editorial team against federal sources (NAIC, CMS, FEMA, DOL, SSA, state DOIs) and standard policy forms. Bylines organize content by topic — they do not assert individual licensure. See our editorial-policy for details.
Reviewed 2026-06-14
Get Insurance Rate Alerts
We monitor rate filings in all 50 states. Get notified when rates change in your area — and discover new ways to save.
- ✓State-specific rate change alerts
- ✓Seasonal enrollment deadline reminders
- ✓Expert tips to lower your premiums
- ✓New coverage options in your state
Free forever. Unsubscribe with one click. No spam, ever.
Important Disclaimer
This site provides general educational information only and is not a substitute for professional insurance advice. All rates, data, and coverage details are estimates and may not reflect your actual premiums. Insurance availability and pricing vary by state, insurer, and individual risk factors. Always consult a licensed insurance professional in your state before making coverage decisions.