What Can You Legally Buy with HSA?

Health Savings Accounts (HSAs) are a valuable financial tool that allow individuals to save money for medical expenses while enjoying some tax benefits. One common question that arises regarding HSAs is: what can you legally buy with HSA funds? Let's dive into the details.

Here are some of the items and services that you can legally purchase using your HSA:

• Prescription medications
• Over-the-counter medications with a doctor's prescription
• Medical supplies such as bandages, crutches, and blood sugar test kits
• Medical services including doctor's visits, surgery, and lab tests
• Dental treatments like cleanings, fillings, and braces
• Eye care services such as exams, glasses, and contact lenses

It's important to note that not all medical expenses are eligible for HSA funds. Some items that are not considered eligible include cosmetic procedures, gym memberships, and general health products like vitamins and supplements.

Make sure to keep detailed records of your HSA expenses in case of an audit. Always consult your tax advisor or financial planner for specific guidance on what qualifies as a legitimate HSA expense.

By understanding what you can legally buy with your HSA, you can make the most of this savings tool and prioritize your health and well-being.

Health Savings Accounts (HSAs) are an essential financial resource that empower individuals to save for medical expenses while benefiting from tax advantages. One common question many have is: what purchases can be made using HSA funds? Let’s explore!

Here’s a list of items and services that you can legally purchase with your HSA:

• Prescription medications, which many find necessary for chronic conditions.
• Over-the-counter medications, but only with a valid doctor's prescription.
• Medical supplies, including essentials like first-aid kits, crutches, and blood glucose monitors.
• Medical services that cover essential doctor visits, surgeries, and laboratory tests.
• Dental procedures, such as routine cleanings, fillings, and orthodontic braces.
• Eye care needs including comprehensive exams, glasses, and contact lens purchases.

However, understanding eligibility is crucial. Some products like cosmetic surgeries, gym memberships, and general wellness items such as vitamins are not covered.

To ensure compliance, always maintain thorough documentation of your HSA expenses. It’s wise to consult with a tax advisor or financial planner to clarify what qualifies as allowable HSA spending.

By knowing what you can and cannot buy with your HSA, you can maximize this valuable savings tool and better manage your health expenditures.