Your Health Savings Account (HSA) covers more than just doctor visits and prescriptions. Searching for HSA eligible expenses surprised me when I found that certain makeup products, massagers, and even sunscreen qualify for HSA spending.
Many people let their HSA money sit idle because they don’t know what expenses qualify. These accounts are nowhere near as restrictive as most think. My deep research into HSA benefits shows they can cover everything from wellness devices to beauty treatments.
Understanding HSA Basics Before You Shop
Let’s understand the basics of HSA qualification and documentation before we head over to the exciting items you can purchase. Getting these fundamentals right can save you from headaches later. You’ll learn valuable ways to maximize your HSA benefits and make smarter healthcare spending decisions.
Quick overview of HSA eligibility requirements
HSA qualification requires you to meet specific criteria. Here’s what you need to qualify:
- Be enrolled in a High-Deductible Health Plan (HDHP)
- Have no other health coverage (except what’s specifically allowed)
- Not be enrolled in Medicare
- Not be claimed as a dependent on someone else’s tax return [1]
How to verify if an item is an eligible expense
My purchases must meet the IRS definition of medical care. We used these items to diagnose, treat, prevent, or manage a medical condition [2]. The HSA provider’s eligibility list or IRS guidelines can help you verify any doubts.
Documentation needed for purchases
Keeping every receipt is vital. The IRS requires documentation for all HSA spending [3]. An audit will require you to prove that:
- The expense was exclusively for qualified medical purposes
- It wasn’t reimbursed from another source
- You haven’t claimed it as a tax deduction [3]
A word of caution: insufficient proof of qualified expenses could result in a 20% penalty plus taxes [3]. Your receipts should be stored for at least three years after filing taxes [2]. HSA providers now offer digital storage solutions that make documentation tracking easier.
Beauty and Personal Care Surprises
Let me tell you about some amazing beauty and personal care items I found that qualify for HSA spending. These surprising finds could help you get more value from your health savings.
1. Acne treatments and skincare products
My favorite HSA-eligible find is that many acne treatments qualify for reimbursement. You can use HSA funds for prescription medications and light therapy kits without a doctor’s note [4]. The best part? Products with salicylic acid and benzoyl peroxide are eligible too [5]. Your HSA money can buy all sorts of over-the-counter acne medicines – from lotions and gels to foams and towelettes [5]. One of my biggest surprises was finding makeup is eligible! Think oil absorbing acne pressed power or tinted moisturizer.
2. Sunscreen and sun protection items
A vital thing I learned is that sunscreen isn’t just eligible – it’s a healthcare essential. Your HSA covers sunscreen and sunblock products that meet these criteria:
- Must have SPF 15 or higher [6]
- Should provide broad-spectrum protection
- Must be part of a dedicated sun care product line [6]
The IRS recognizes sunscreen as a qualified expense because one in five Americans will develop skin cancer in their lifetime [7]. I always add SPF lip balms to my HSA purchases now that I know they’re covered.
3. Prescription beauty products and treatments
The rules around prescription beauty products need careful attention. Purely cosmetic procedures don’t qualify, but treatments prescribed for medical conditions often do. To name just one example, see dermatological prescriptions for skin conditions – they’re HSA-eligible [8]. It’s worth mentioning that products serving both medical and cosmetic purposes need a Letter of Medical Necessity from your healthcare provider [9].
Unexpected Wellness Items
I was amazed to find several wellness items that qualified while going through my HSA-eligible purchases last year. Here are some game-changing items I found that will give you the tools to better use your HSA funds.
4. Alternative therapy equipment
The sort of thing I love was finding out that TENS machines (transcutaneous electrical nerve stimulation) qualify for HSA spending. These devices use gentle electrical pulses to help manage both acute and chronic pain [10]. HSA covers these alternative treatments:
- Homeopathy treatments
- Naturopathy services
- Chiropractic care
- Energy therapy
- Reiki sessions [11]
5. Sleep improvement devices
My struggles with sleep taught me that HSA funds cover various sleep improvement tools. CPAP machines are the most important coverage option. They help with sleep apnea by keeping airways open during rest [12]. These devices come with eligible accessories like masks, tubes, and cleaning supplies. Smart mattresses that track sleep patterns can qualify with proper documentation [13].
6. Fitness recovery tools
Fitness recovery equipment comes off the top of my head as the most exciting category. Your HSA can cover muscle recovery tools such as:
- Percussion massage guns
- Compression therapy devices
- Athletic treatments like kinesiology tape
- Hot and cold therapy tools [14]
Keep in mind that some items might need a Letter of Medical Necessity from your healthcare provider [15]. Documentation should stay handy, especially for fitness-related purchases that could appear as general wellness items rather than medical necessities.
7. Pregnancy and fertility products
Planning for a baby showed me that HSAs cover many fertility and pregnancy items. Your HSA can help with:
- Fertility treatments including IVF and artificial insemination [16]
- Pregnancy tests and fertility monitors
- Prenatal vitamins (with healthcare provider recommendation)
- Childbirth classes (but only for the mother-to-be) [17]
- Breast pumps and all nursing supplies [18]
Let’s wrap this up…..
A closer look at HSA-eligible expenses reveals these accounts provide nowhere near the limited flexibility most people imagine. HSA coverage extends to an impressive range of health-related purchases. Qualified items include acne treatments, sunscreen, fertility products, and senior care items.
Effective HSA usage requires proper documentation and a clear understanding of eligibility requirements. You should maintain detailed records of all purchases and verify qualification requirements before spending. While some items need a Letter of Medical Necessity, the tax advantages and healthcare savings make this extra step worthwhile.
Your HSA serves as a valuable tool to manage both expected and unexpected healthcare costs. The list of covered items changes frequently, so check your HSA provider’s eligibility list regularly. Smart use of these tax-advantaged funds helps stretch your healthcare dollars and ensures the best possible care for you and your family.
References
[1] – https://www.irs.gov/publications/p969
[2] – https://hsastore.com/articles/learn-keep-hsa-records-in-order.html?srsltid=AfmBOooiSWByrDpsKFWcL3WifTIM2LwtxEerXZVSFMnOo_Oq1X28RbN7
[3] – https://employee-resources.lumity.com/help/hsa-receipt-documentation
[4] – https://hsastore.com/articles/learn-acne-treatment-hsa.html?srsltid=AfmBOopdsQfJNq6UvkeY1ZYlHD1_cmtX9okMwg8eYzorPp3KH1hr1pzs
[5] – https://hsastore.com/hsa-eligibility-list/a/acne-medicine?srsltid=AfmBOopiSBbmYLfrVUeutLwba_9A-_NgA3haDKpDAcPQhqj59HLhBKvi
[6] – https://buyfsa.com/blogs/fsa-hsa-eligibility-list/is-sunscreen-fsa-and-hsa-eligible?srsltid=AfmBOopPlCtmEglGF-Ld5VpEBpzquKxcJEolidRByCZ033LjMl4k5BDp
[7] – https://hsastore.com/hsa-eligibility-list/s/sunscreen?srsltid=AfmBOopkkbfmFSOWjoWzm2_m0v15htzMTSzCslWJUeHluk7jTZIx84pD
[8] – https://blog.bernieportal.com/hsa-and-cosmetic-surgery-faqs
[9] – https://hsastore.com/hsa-eligibility-list/c/cosmetic-procedures?srsltid=AfmBOoqTwLlwHTsCNR7TfpWoiRcgujTmEbE-hJUQUwlf7TPXwmE3RO5y
[10] – https://hsastore.com/hsa-eligibility-list/t/tens-machine?srsltid=AfmBOooS8t5UrsohVPZ680vieqghYzYxYjOPb6uLnrMYOP1Q1ugX6kh2
[11] – https://hsastore.com/hsa-eligibility-list/a/alternative-treatments?srsltid=AfmBOoqqEEUvoWXOErP8vBykP9ONjv3bhCQAJR0afUYQf4EmcMhKLUzR
[12] – https://hsastore.com/hsa-eligibility-list/c/cpap-machine?srsltid=AfmBOoqmg_aQyERy_ktbwBf5yIacFoK9JGhG1pOLd-R5hwMgxdoFbZWT
[13] – https://yawnder.com/what-sleep-products-are-covered-by-a-health-savings-account/
[14] – https://hsastore.com/hsa-eligibility-list/a/athletic-treatments?srsltid=AfmBOoqfBb337JNOgyUykqObNNOmKqovm-hZOe9yRAShW4_rqGcM9Idf
[15] – https://www.menshealth.com/fitness/g63240774/fsa-hsa-eligible-exercise-equipment/
[16] – https://www.givelegacy.com/resources/using-your-fsa-or-hsa-to-pay-for-fertility-testing-and-treatment/
[17] – https://www.cigna.com/individuals-families/member-guide/eligible-expenses
[18] – https://www.metlife.com/stories/benefits/hsa-qualified-expenses/
[19] – https://hsastore.com/hsa-eligibility-list/c/child-medical-care?srsltid=AfmBOoq88pT6aaKgZw3uQ1exYlrTZdGwqNc1UDesHuuGhvlHTf6NXiiD
[20] – https://www.aplaceformom.com/caregiver-resources/articles/hsa-for-long-term-care
[21] – https://hsastore.com/hsa-eligibility-list/e/elder-care?srsltid=AfmBOordYFA9WjiBzcFijDHBnWqRviVrnEyVrDaOS85Lg6eOkoiwAYiL