What Qualifies for HSA Spending? - A Comprehensive Guide

Health Savings Accounts (HSAs) are a valuable tool for managing healthcare expenses while saving on taxes. Understanding what qualifies for HSA spending is key to making the most of this benefit. Here's a guide to help you navigate HSA spending:

Eligible Expenses:

• Medical services
• Prescription medications
• Dental and vision care
• Mental health counseling

Items that Qualify:

• Over-the-counter medications with a prescription
• Medical supplies like bandages and crutches
• Medical equipment such as wheelchairs
• Laser eye surgery

Non-Eligible Expenses:

• Cosmetic procedures
• Health club dues
• Non-prescription drugs

Remember to keep receipts and documentation to substantiate your HSA expenses. Consult with a tax professional for specific questions about eligible expenses.

Health Savings Accounts (HSAs) are an incredible way to manage rising healthcare costs while benefiting from tax savings. It's essential to have a clear understanding of what qualifies as HSA spending to maximize this fantastic financial tool. To provide clarity, here's a detailed guide to help you recognize the types of expenses that count towards HSA spending:

Eligible Expenses:

• Essential medical services such as doctor visits and hospital stays.
• Prescription medications that you need and are prescribed by licensed healthcare providers.
• Dental and vision care, including routine check-ups, treatments, and glasses.
• Services for mental health counseling, which are critical for managing overall health.

Items that Qualify:

• Over-the-counter medications with a prescription can now be purchased using HSA funds.
• Medical supplies such as bandages, crutches, and diabetic supplies are all eligible.
• Medical equipment like wheelchairs, nebulizers, and other vital devices are covered.
• Services like laser eye surgery are also eligible, allowing you to invest in your vision health.

Non-Eligible Expenses:

• Cosmetic procedures, which may be tempting but are not covered by HSAs.
• Health club dues and fitness programs typically fall outside HSA qualifying expenses.
• Non-prescription drugs without a prescription do not qualify for HSA spending.

Always remember to keep your receipts and any necessary documentation to back up your HSA expenses. Additionally, it's advisable to consult with a tax professional if you have specific questions regarding what expenses are eligible underHSA regulations.