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HSA, HRA, Healthcare FSA, and Dependent Care Eligibility List
The following is a summary of common expenses claimed against Health Savings Accounts (HSAs), Health Reimbursement Arrangements (HRAs), Healthcare Flexible Spending Accounts (HC-FSAs), and Dependent Care FSAs (DC-FSAs). Due to frequent updates to the regulations governing these accounts and arrangements, this list does not guarantee reimbursement and is to be utilized as a guide for the submission of claims. Find more information on IRS-qualified medical expenses from IRS Publication 502 and IRS Publication 969.
If you have an HRA or FSA, your employer’s plan may only reimburse a subset of expenses. Please refer to your Plan Document to confirm reimbursable expenses under your plan. For more information on health savings accounts, visit Understanding Health Savings Account (HSA) Limits and Eligible Expenses.
If you currently participate in a High Deductible Health Plan (HDHP) and contribute to an HSA, you may also participate in a Limited Purpose HRA or Health FSA. Expenses are limited to dental and vision expenses identified with an * in the list below. To learn more about the pros and cons of health-sharing plans, check out Should I Get a Health-Sharing Plan?.
Common IRS-Qualified Medical Expenses
- Acupuncture
- Ambulance
- Artificial limbs
- Artificial teeth*
- Birth control treatment
- Blood sugar test kits for diabetics
- Breast pumps and lactation supplies
- Chiropractor
- Contact lenses and solutions*
- COVID-19 diagnostic testing and treatment
- Crutches
- Dental treatments (including X-rays, cleanings, fillings, sealants, braces, and tooth removals*)
- Doctor’s office visits and co-pays
- Drug prescriptions
- Eyeglasses (Rx and reading)*
- Fluoride treatments*
- Feminine hygiene products
- Fertility enhancement (including in-vitro fertilization)
- Flu shots
- Guide dogs
- Hearing aids and batteries
- Infertility treatment
- Inpatient treatment at a therapeutic center for alcoholism or drug addiction
- Insulin
- Laboratory fees
- Laser eye surgery*
- Medical alert bracelet
- Medical records charges
- Midwife
- Occlusal guards to prevent teeth grinding
- Orthodontics*
- Orthotic Inserts (custom or off-the-shelf)
- Over-the-counter medicines and drugs (see more information below)
- Personal protective equipment (PPE) like masks and hand sanitizer
- Physical therapy
- Psychiatric care
- Psychoanalysis
- Psychologist
- Special education expenses that include tutoring for a child with learning disabilities caused by mental impairments (recommended by a doctor)
- Speech therapy
- Stop-smoking programs (including nicotine gum or patches, if prescribed)
- Surgery, excluding cosmetic surgery
- Vaccines
- Vasectomy
- Vision exam*
- Walker, cane
- Wheelchair
Common Over-the-Counter (OTC) Medicines
Examples include, but are not limited to:
- Acid controllers
- Acne medicine
- Aids for indigestion
- Allergy and sinus medicine
- Anti-diarrheal medicine
- Baby rash ointment
- Cold and flu medicine
- Eye drops*
- Feminine antifungal or anti-itch products
- Hemorrhoid treatment
- Laxatives or stool softeners
- Lice treatments
- Motion sickness medicines
- Nasal sprays or drops
- Ointments for cuts, burns, or rashes
- Pain relievers, such as aspirin or ibuprofen
- Sleep aids
- Stomach remedies
Services That May Be Eligible with a Letter of Medical Necessity Completed
This list is not all-inclusive:
- Weight-loss program only if it is a treatment for a specific disease diagnosed by a physician (e.g., obesity, hypertension, heart disease)
- Compression hosiery/socks, anti-embolism socks or hose
- Massage treatment for a specific ailment or diagnosis
- CPR classes for adult or child
- Improvements or special equipment added to a home or other capital expenditures for a physically handicapped person
Ineligible Expenses
Listed below are some services and expenses that are not eligible for reimbursement. This list is not all-inclusive:
- Aromatherapy
- Baby bottles and cups
- Baby oil
- Baby wipes
- Breast enhancement
- Cosmetics and skin care
- Cotton swabs
- Dental floss
- Deodorants
- Hair re-growth supplies and/or services
- Health club membership dues
- Humidifier
- Lotion
- Low-calorie foods
- Mouthwash
- Petroleum jelly
- Shampoo and conditioner
- Spa salts
Eligible Dependent Care Expenses
- Au pair services
- Babysitting services
- Before- and after-school programs
- Custodial or eldercare expenses, in-home or daycare center (not medical care)
- Nursery school
- Pre-kindergarten
- Summer day camp (not educational in nature)
Ineligible Dependent Care Expenses
- Clothing
- Food/meals
- Kindergarten and higher education/tuition expenses
- Overnight camp
This list is not comprehensive. It is provided to you with the understanding that Veritas Risk Management, Inc. is not engaged in rendering tax advice. The information provided is not intended to be used to avoid federal tax penalties. For more detailed information, please visit IRS Publication 502 and IRS Publication 969. If tax advice is required, you should seek the services of a professional. For a comprehensive guide to Medicare, see Comprehensive Guide to Medicare.
Additional Resources
For more detailed information on HSAs, FSAs, and HRAs, check out the following resources:
By following this guide, you can make the most out of your FSA and ensure you’re spending wisely on eligible expenses. For any further details, always refer to the IRS guidelines and consult with your FSA provider.
Andrew Darlington
Andrew Darlington : July 31, 2024 at 10:34 AM
