The Flexible Spending Account $($FSA$)$ has the following characteristics:

$$ an option of setting aside pretax income to pay for out$-$of$-$pocket medical expenses.

the funds accumulated over a year must be spent within the year.

allows employees who work for small companies $($less than $50$ employees$)$ who have high$-$deductible plans to use an FSA to set aside pretax dollars to be used for their premiums and nonreimbursed healthcare expenses.

$$ All of these are correct.