When you use your Pre-tax Forma Card, Forma’s system automatically identifies the eligible benefits for your purchase and charges the appropriate account.
If the purchase is eligible under multiple benefits, we will charge them in the following order:
LPFSA > FSA > HSA
Forma's system will use the current year's funds for any transaction. Previous year's funds, including transactions that take place during a grace period, will not be used.
The transaction amount must not exceed the total balance, otherwise, it will be declined.
Example: Let's say you have the following benefits:
- A 2024 FSA with a grace period
- A 2025 LPFSA
- And an HSA
If you make a large transaction with your Pre-tax Forma Card, we’ll first use the balance in your 2025 LPFSA then charge the remaining amount to your HSA (*a split charge is not automatic, see below for more information). Your 2025 FSA funds will not be used.
The Pre-tax Forma Card can’t split a transaction amount between non-HSA and HSA accounts in a single swipe. Ask the merchant to split the transaction before you use your Pre-tax Forma Card.
For example, when you go to the dentist and use your Pre-tax Forma Card to pay for the visit, we’ll see if you have an LPFSA or FSA with sufficient balance to cover the transaction. If not, we will check if you have an HSA with sufficient balance to cover the transaction. If not, the transaction will be declined.
Your FSA, LPFSA, DCFSA, Transit, Parking, and HSA, are on the same pre-tax Forma card, and your employer-sponsored accounts will be on a separate card. Please note that if your employer-sponsored accounts are enabled to use the Forma Card, you should use the employer-sponsored Forma Card to access those funds.