Who actually gets the unused money from a flexible spending account?

Unused money from a flexible spending account (FSA) typically reverts to the employer at the end of the plan year. This is because FSAs are employer-sponsored plans, and any leftover funds are considered part of the employer's financial resources. Some employers may offer a grace period or a carryover option, allowing employees to use remaining funds within a specified time frame, but if unused amounts remain after that, they are forfeited to the employer.