What Qualifies for HSA Expenses? Understanding Eligible Expenses for Health Savings Accounts

Health Savings Accounts (HSAs) are a valuable tool for saving money on healthcare expenses, but it's important to understand what qualifies as HSA expenses. Qualified HSA expenses are medical, dental, vision, and prescription expenses that are considered eligible for tax-free spending from your HSA funds. To help you navigate what qualifies for HSA expenses, here are some key points to keep in mind:

Eligible HSA Expenses:

• Doctor visits and medical consultations
• Prescription medications and insulin
• Dental care, including cleanings, fillings, and braces
• Vision care, including eye exams, glasses, and contact lenses
• Mental health services and therapy
• Medical equipment and supplies
• Surgery and hospital fees

It's important to note that not all medical expenses qualify for HSA spending. Non-eligible expenses include cosmetic procedures, over-the-counter medications (without a prescription), and health club memberships.

How to Use Your HSA Funds:

When using your HSA funds for eligible expenses, keep detailed records and receipts to provide documentation if needed. You can use your HSA debit card for convenient payment at the point of service or reimburse yourself for expenses paid out of pocket.

By understanding what qualifies for HSA expenses, you can make the most of your HSA funds and save money on healthcare costs. Remember to consult your tax advisor or financial planner for personalized advice on managing your HSA.

Health Savings Accounts (HSAs) not only help you save on medical costs but also provide tax advantages. Understanding what qualifies as HSA expenses is essential to maximize these benefits. Qualified expenses generally include necessary and preventive care.

Examples of Eligible HSA Expenses:

• Routine check-ups and specialty consultations
• Prescription drugs, including certain over-the-counter medications with a prescription
• Dental procedures such as cleanings, crowns, and orthodontics
• Vision-related expenses like eye care visits, glasses, and contact lenses
• Psychological and psychiatric care, including counseling services
• Medical supplies like bandages and syringes
• Outpatient surgeries and hospital admission fees

It's vital to be aware that non-qualified expenses like cosmetic surgeries and gym memberships will not be covered by your HSA. Keeping track of these distinctions can save you from unexpected costs.