Can I use my HSA for non healthcare?
Asked by: Aletha Schmitt | Last update: November 6, 2025Score: 5/5 (5 votes)
Can you use an HSA to pay for anything?
HSA - You can use your HSA to pay for eligible health care, dental, and vision expenses for yourself, your spouse, or eligible dependents (children, siblings, parents, and others who are considered an exemption under Section 152 of the tax code).
Can I use an HSA without health insurance?
While you can use the funds in an HSA at any time to pay for qualified medical expenses, you may contribute to an HSA only if you have an HSA-eligible plan (sometimes called a High Deductible Health Plan (HDHP)) — generally a health plan (including a Marketplace plan) that only covers preventive services before the ...
What happens if I use a HSA card for groceries?
If you use your HSA for an expense other than eligible medical expenses you can subject yourself to significant IRS penalties. Inappropriate use of your HSA funds may also leave you without money to pay for your eligible medical expenses in the future.
Can I use HSA for gym membership?
Gym memberships. While some companies and private insurers may offer discounts on gym memberships, you generally can't use your FSA or HSA account to pay for gym or health club memberships. An exception to that rule would be if your doctor deems fitness medically necessary for your recovery or treatment.
What happens if I use my HSA for a nonqualified expense?
Is the Apple Watch HSA eligible?
Why other fitness trackers don't qualify. Even though Fitbits and Apple Watches measure important health data, they currently do not qualify for HSA reimbursement, as they are considered for general health use and not intended to treat or manage a specific medical condition.
Can I use HSA to pay for massage?
Your HSA can pay for massage therapy, though you'll likely need a letter of medical necessity (LMN) from your doctor. An LMN states what condition the treatment is for, how many sessions you need, and any other relevant details. An HSA may also be used on alternative or holistic treatments, such as: Massage therapy.
How does IRS know what you spend HSA on?
Verification of expenses is not required for HSAs. However, total withdrawals from your HSA are reported to the IRS on Form 1099-SA. You are responsible for reporting qualified and non-qualified withdrawals when completing your taxes.
What happens if you accidentally use your HSA for non-medical expenses?
After you report the mistake to the custodian, the custodian reports it to the IRS. Reimburse the HSA. If you've mistakenly used HSA funds for nonqualified expenses, you must repay the distribution amount back into your HSA by the tax filing deadline for the year in which the distribution occurred.
Can I use HSA for vitamins?
In general, vitamins are not considered an HSA eligible expense unless they are prescribed by a doctor for a specific medical condition. For example, if your doctor prescribes prenatal vitamins during pregnancy or recommends vitamin D supplements to treat a deficiency, those could be eligible expenses under your HSA.
What is the downside of an HSA?
Drawbacks of HSAs include tax penalties for nonmedical expenses before age 65, and contributions made to the HSA within six months of applying for Social Security benefits may be subject to penalties. HSAs have fewer limitations and more tax advantages than flexible spending accounts (FSAs).
Is it illegal to use HSA for non medical?
Before we dive into the details, let's answer the fundamental question: Can you use an HSA for non-medical expenses? The short answer is yes. While HSAs are primarily designed to cover medical costs, they offer some flexibility when it comes to non-medical expenses as well.
What is the 12 month rule for HSA?
It means you must remain eligible for the HSA until December 31 of the following year. The only exceptions are death or disability. If you violate the testing period requirement, your ineligible contributions become taxable income.
Can I withdraw money from my HSA for non-medical?
You can withdraw money at any time if it's used for qualified medical expenses. However, if you withdraw money for other purposes, your withdrawal will be subject to income tax (if the contribution was pre-tax) and a 20% penalty.
Can I buy deodorant with HSA?
Deodorant reimbursement is not eligible with a flexible spending account (FSA), health savings account (HSA), health reimbursement arrangement (HRA), limited-purpose flexible spending account (LPFSA) or a dependent care flexible spending account (DCFSA).
What can I not spend HSA on?
For example, nutritional supplements that aren't prescribed by your doctor aren't covered. Health club memberships and lactose intolerance medications typically aren't covered either. Here are some examples of non-qualified HSA expenses: Babysitting or child care (a dependent care FSA can help with child care)
Can I use HSA for groceries?
No, you can't use your Flexible Spending Account (FSA) or Health Savings Account (HSA) for straight food purchases like meat, produce and dairy. But you can use them for some nutrition-related products and services. To review, tax-advantaged accounts have regulatory restrictions on eligible products and services.
Will my HSA get audited?
The IRS can audit you for 7 years for the use of your HSA funds. You will need to be able to prove that money spent from your account went to eligible expenses. I would recommend attaching all receipts to the monthly statement when the deduction occurs.
Can I borrow from my HSA and pay it back?
No.
What if I accidentally used my HSA card for groceries?
If you catch the transaction early enough, you might even be able to contact the retailer and ask them to reverse the charge and fill it on a new card. If you bought something in person, you can also return it to the store and then buy it again with a different card.
Is a gym membership a qualified HSA expense?
Gym memberships are generally not considered qualified medical expenses under IRS guidelines. While physical fitness is important, gym memberships are typically viewed as personal or recreational expenses rather than a medical necessity. So using HSA funds for them could result in taxes and penalties.
Can I cash out my HSA when I leave my job?
Yes, you can cash out your HSA at any time. However, any funds withdrawn for costs other than qualified medical expenses will result in the IRS imposing a 20% tax penalty. If you leave your job, you don't have to cash out your HSA.
Can I use HSA for glasses?
Yes! You can definitely use funds from your flexible spending account (FSA) or health savings account (HSA) to purchase prescription glasses. (FSAs and HSAs can be used for many other vision- and eye health-related expenses, too, but we'll discuss that more in a bit.)
Can you use HSA to pay off a credit card?
But can you pay off that medical credit card debt using a tax-advantaged medical savings account like an HSA or FSA? In short, yes, but it's important to keep good records.
Can you use HSA for supplements?
Generally, you can't use your HSA to pay for expenses that don't meaningfully promote the proper function of the body or prevent or treat illness or disease. Nutritional supplements and weight loss programs not prescribed by a physician are examples of expenses that would not be covered by your HSA.