How the HSA, LPFSA and MRA compare

Compare the Health Savings Account (HSA), Limited Purpose Flexible Spending Account (LPFSA) and Medical Reimbursement Account (MRA) to help you determine which account(s) may be right for you and your family.

	HSA	LPFSA	MRA
Who can use it?	Employees enrolled in the M&T Basic HDHP or Core HDHP with an HSA, and are under age 65 for the entire plan year	Employees enrolled in a M&T HDHP medical plan with an HSA	Employees enrolled in a M&T medical plan or other medical plan without an HSA
What can I use it for?	Medical, prescription drugs, dental and vision expenses	Dental and vision expenses only	Medical, prescription drugs, dental and vision expenses
2027 contribution limit	$4,500 for employee-only coverage $9,000 for other coverage levels Additional $1,000 catch-up contribution if you are age 55 or older in 2027	$3,500	$3,500
Who contributes?	You and M&T Bank, if eligible	You	You
Does the balance carry over?	Yes	No. Use it or lose it.	No. Use it or lose it.
When are funds available?	As funds are deposited	Available on the effective date of your account	Available on the effective date of your account
Can I change my contribution mid-year?	Yes	Only after a qualifying event	Only after a qualifying event
Are receipts required?	Save receipts in case of an IRS audit	Yes, if requested by Optum Financial	Yes, if requested by Optum Financial
Tax advantages	Tax-free contributions Tax-free investment income Tax-free qualified distributions	Tax-free contributions Tax-free qualified reimbursements	Tax-free contributions Tax-free qualified reimbursements