What Can I Spend HSA Funds On? A Complete Guide

Health Savings Accounts (HSAs) are a great way to save for medical expenses while enjoying tax benefits. One common question that individuals have is, 'What can I spend HSA funds on?'

Here's a comprehensive guide to help you understand what expenses are considered eligible for HSA funds:

• Qualified Medical Expenses: You can use your HSA funds to pay for a wide range of medical expenses for you, your spouse, and dependents. This includes doctor visits, prescriptions, dental care, vision care, and more.
• Over-the-Counter (OTC) Medications: Thanks to recent legislation, you can now use HSA funds to purchase over-the-counter medications like pain relievers, cold medicine, and allergy medication without a prescription.
• Medical Equipment: HSA funds can be used to buy medical supplies and equipment such as blood pressure monitors, crutches, and wheelchairs.
• Long-Term Care: If you need long-term care services, including services for individuals with disabilities or cognitive impairments, HSA funds can be used for these expenses.
• COBRA Premiums: If you're unemployed and paying for COBRA continuation coverage, you can use your HSA funds to cover the premiums.
• Alternative Treatments: HSA funds can also be used for certain alternative treatments like acupuncture, chiropractic care, and homeopathic treatments.
• Travel Expenses: In some cases, HSA funds can be used for travel expenses related to medical care, such as transportation to and from medical appointments.

It's important to keep records and receipts for all HSA expenses to ensure they are eligible and comply with IRS regulations. Non-qualified expenses may incur taxes and penalties.

By understanding what you can spend HSA funds on, you can make the most of this valuable savings tool for your healthcare needs.

Health Savings Accounts (HSAs) not only help you save money for medical expenses, but they also offer flexibility in choosing how to spend those funds. You might be wondering, 'What can I spend HSA funds on?' Well, this comprehensive guide will shine some light on this essential topic.