Eligible Expenses
The rules for funding and accessing funds in a Healthcare FSA are legislated by the IRS and mandated to be used for healthcare expenditures only, but there are literally thousands of products and services that meet the approved healthcare expenditure requirements for Medical Expenses as defined in Section 213(d) of the IRS code.
Qualified medical expenses are defined as: copayments or coinsurance, dental care costs, vision care costs, prescription medications and some over-the-counter medications. Your employer may limit the expenses your plan reimburses; please contact your Human Resources office for more information. For a general list of approved healthcare expenditures, please refer to the list of Qualified Medical Expenses.
Services that are typically not eligible or reimbursable from a Healthcare FSA include:
- Skin or teeth bleaching/whitening;
- Health club dues;
- Hair transplants;
- Electrolysis;
- Cosmetic surgery or treatments of any kind; and,
- Contract fees for maintenance/replacement of contact lenses or eyeglasses.
Please refer to the Qualified Medical Expenses list to find a general list of non-eligible expenses.
If you file a manual request for reimbursement of a non-eligible expense, the request will be denied. If you used the healthcare payment card and the expense is deemed ineligible after the expense is already paid, you will be required to reimburse your account for that transaction. If you fail to reimburse the account, you may be required to pay income taxes.