Why should I participate in the Flexible Spending Healthcare Account when I already have medical, dental, and/or vision insurance?

This account is used to pay for expenses not covered by insurance (see Forms Library for a list of possible eligible expenses). For example:

  • Deductibles, Co-pays, and Prescription Drugs
  • Eligible expenses not covered by insurance
  • Dental Services & Orthodontics
  • Eyeglasses, Contacts, Solutions & Eye Surgery
  • Chiropractic, Naturopathic, Acupuncture services
  • Massage – when prescribed by a medical doctor
  • Mental Health Services – for individuals in your family–not marriage or family therapy
  • Weight-Loss Programs – when prescribed to treat a specific medical condition
  • Over-the-Counter items such as blood sugar testing kits and strips, flu shots, etc.
  • Over-The-Counter items
  • Over-the-Counter medications when accompanied with a “prescription” from a medical doctor describing the medical condition the medication is for
  • Over-The-Counter items

What are the HSA Eligibility Guidelines?

You must be enrolled in a qualified High-Deductible Health Plan (HDHP). You cannot be claimed as a Tax Dependent.

You cannot be enrolled in Medicare, Tricare, another group medical plan (your spouse’s plan, for example), a Health Flexible Spending Account, or a Health Reimbursement Arrangement.

Domestic Partners of the account holder must set up a separate account and may contribute up to the family limit; the account holder cannot use their account to pay a Domestic Partner’s expenses.

If unsure about your eligibility, please consult your tax advisor or IRS publication 969.