Flex Spending Account - FSA/HSA

The icon designates an "FSA/HSA Eligible" product, an item that can likely be purchased or reimbursed through Flexible Spending Account or Health Saving Account funds.

Through a separate administrator, employers set up funds within Flexible Spending Accounts or Health Saving Accounts for employees to pay for specific health care needs. If a medical item is FSA/HSA-eligible, that item can likely be purchased or reimbursed through these FSA or HSA funds. A product qualifies as an FSA or HSA medical expense when it’s for the primary purpose of diagnosing, treating, curing, mitigating, or preventing a medical condition. Be aware the medical condition needs to belong to the account holder or the account holder’s dependents. Every FSA or HSA administer may have a different definition of medically eligible products, so it is worth it to reach out to them for specific product qualifications.

There are many different types of FSAs and HSAs with many different qualities and options. In general, Flexible Spending Accounts don’t require a connection to a health plan and have a set amount of funds for the calendar year. The money does not roll over the following year, so it’s in the interest of the account holder to use all the funds before December 31. Health Saving Accounts are usually only available through a high-deductible health plan. The funds usually roll over into the following year, so there’s no pressure to spend the funds before the end of the year. The funds can continue to build over time and the employee usually retains account ownership even after a change in employment.

The usual payment methods are accepted for every item on the site, whether or not the item displays the FSA/HSA icon.

Your FSA or HSA administrator will likely supply one of two options. You may, of course, purchase items using your own funds. If the purchases are allowed medical purchases, your administrator can provide reimbursement after you send your proof of payment. For this reason, it's a good idea to keep close track of your purchase documentation such as receipts to send along to the administrator as needed. FSA or HSA administrators may also provide a specific FSA/HSA debit card that works like any other debit card. It's still a good idea to save any transaction records in case the administrator requires evidence the debit card has been used for allowed medical items.

We are confident that all items with the FSA/HSA icon qualifies as a health care cost and therefore compatible as a potential FSA/HSA purchase, however, every administrator may have a different definition of what qualifies as a health care cost. Check with your FSA/HSA administrator for any specific details. You may also reference IRS Publication 502 (opens in a new window) to get an idea of what is covered. It’s possible many items without the icon can be purchased with FSA/HSA funds, depending on your administrator's health care cost definition. Items prescribed by your doctor are especially likely to qualify. Remember to save receipts, prescriptions, and other paperwork as evidence of proper FSA/HSA usage.

This all depends on your FSA/HSA administrator's definition of a "qualified medical expense." This may include cosmetic products or more general health products as opposed to treatment or prevention of a medical condition. Items such as makeup and basic vitamins are possible examples.

If you return an item purchased with FSA/HSA funds, the refund may be processed differently depending on your FSA/HSA administrator. Generally, funds may be returned to the FSA/HSA account instead of back to your personal account. Check with your administrator for specific return policies.

The administrator of the FSA/HSA debit card has the final control of the activation of the card. In order to avoid reimbursement to the FSA/HSA administrator or card cancellation, it may be a good idea to make a separate order for any ineligible purchases using a non-FSA/HSA form of payment. If you accidentally use your FSA/HSA card to buy an ineligible item, the administrator may ask you to reimburse the account for that amount from your own pocket.

It's recommended to keep all available prescriptions, itemized receipts, and doctors’ letters of medical necessity associated with FSA/HSA purchases. FSA/HSA administrators may require you to submit such documents to verify the expenses are eligible.

FSAs are generally "use-it-or-lose-it" accounts, meaning if you don't use the funds by the end of the plan year, you could forfeit any remaining balance. However, some employers offer a grace period or allow you to carry over a small amount of unused funds into the next year. Confirm with your FSA administrator if they offer this flexibility. Most HSA funds roll over into the following year, so you can save up that money if you wish.

You may need to provide supporting documentation like itemized receipts, doctor’s prescriptions and/or letters of medical necessity to prove the item qualifies as a medical expense. If the dispute remains unresolved, you may need to repay the amount.