FSA may be able to access means the IRS has approved that item or service for payment using your Flexible Spending Account funds

When you see "FSA may be able to access" on a product or in a store, it means the IRS allows you to buy it with pre-tax money from your FSA. Your employer set aside that money before taxes were taken out of your paycheck, so you save money when you spend it on approved items instead of paying with after-tax dollars.

The IRS publishes a list of what counts as a medical expense under tax law. FSA may be able to access items fall into that category. If something is not on that list, you cannot use FSA funds to pay for it — your bank will decline the transaction, or you will have to pay out of pocket and cannot get reimbursed.

The catch is that "medical" does not mean what you might think. Some things doctors prescribe are not FSA may be able to access. Some things you buy at a drugstore without a prescription are. The rules are specific and sometimes counterintuitive.

Key Takeaways

  • FSA may be able to access items are approved by the IRS as may have access to medical expenses, and you can only use FSA funds to pay for them.
  • Prescription medications, medical equipment, and certain over-the-counter items like bandages and pain relievers are typically FSA may be able to access.
  • Cosmetic products, vitamins, and general health items are usually not FSA may be able to access unless they treat a specific medical condition.
  • You should check the IRS rules or ask your FSA plan administrator before buying something you are unsure about, because you cannot get reimbursed for ineligible purchases.

What the IRS considers a may have access to medical expense

The IRS defines FSA may be able to access expenses as costs for diagnosis, cure, mitigation, treatment, or prevention of disease, or for treatment affecting any part or function of the body. That is broad, but it has limits.

Prescription medications are FSA may be able to access. Over-the-counter medications like ibuprofen, acetaminophen, antihistamines, and antacids are FSA may be able to access if you have a prescription for them — but as of 2020, you can also buy them without a prescription and still use FSA funds. Medical equipment like crutches, wheelchairs, blood pressure monitors, and glucose meters is FSA may be able to access. Dental work, vision care, and mental health treatment are FSA may be able to access. Copays and deductibles for medical services are FSA may be able to access.

Items that treat a diagnosed condition are more likely to be FSA may be able to access than items meant for general wellness. A knee brace for a knee injury is may be able to access. A vitamin supplement for general health is not.

What is not FSA may be able to access

Cosmetic procedures and products are not FSA may be able to access unless they are medically necessary. Botox for wrinkles is not may be able to access. Botox for a medical condition like migraines may be may be able to access if a doctor prescribes it. Hair loss treatments, teeth whitening, and cosmetic dental work are not may be able to access.

General health and wellness items are not FSA may be able to access. Vitamins, minerals, and nutritional supplements are not may be able to access unless they treat a specific deficiency or medical condition and a doctor prescribes them. Gym memberships, fitness equipment, and weight loss programs are not may be able to access. Sunscreen is not may be able to access. Toothpaste and mouthwash are not may be able to access, even though they are in the health aisle.

Toiletries and personal care items are not FSA may be able to access. Shampoo, soap, deodorant, and razors are not may be able to access. Feminine hygiene products are not may be able to access. Toilet paper is not may be able to access.

Some things that seem medical are not FSA may be able to access. Maternity clothes are not may be able to access. Condoms and birth control pills are not may be able to access (though some IUD insertions and other contraceptive procedures may be). Marijuana, even in states where it is legal, is not FSA may be able to access.

How to know if something specific is FSA may be able to access

Your FSA plan administrator has a list of may be able to access items, and you can call or email them to ask about a specific product. Many large retailers and online pharmacies also have FSA may be able to access filters on their websites — you can search by category or product name and see what is marked as may be able to access.

The IRS publishes Publication 502, which lists may have access to medical expenses in detail. It is dense, but it is the official source. Your plan administrator can also point you to it or summarize the rules that apply to your plan.

If you buy something and are not sure whether it is may be able to access, keep the receipt. You can ask your plan administrator before you submit for reimbursement. If they say no, you have not lost the money — you just pay for it out of pocket instead of using FSA funds.

Why the rules matter for your FSA balance

FSA accounts operate under a "use it or lose it" rule in most cases. Money you do not spend by the end of the plan year does not roll over to the next year. That means you need to know what you can actually buy with your FSA funds so you do not set aside money you cannot use.

If you are not sure whether an item is may be able to access, it is safer to assume it is not and plan to pay for it with regular money. That way you do not overestimate how much FSA money you will need and end up losing the balance.

Some employers offer a grace period of up to 2.5 months into the next plan year to spend remaining FSA funds, or they allow a small carryover amount. Check your plan documents to see if yours does. If not, spending down your account before the deadline is important.

FSA may be able to access versus HSA may be able to access

If you have both an FSA and a Health Savings Account (HSA), the rules are similar but not identical. Most items that are FSA may be able to access are also HSA may be able to access. The main difference is that HSA funds roll over year to year, so you do not have the same pressure to spend them down.

Some items may be HSA may be able to access but not FSA may be able to access depending on your specific plan. Your plan documents will spell out the differences. When in doubt, ask your plan administrator which account you should use for a specific purchase.

Frequently Asked Questions

Can I use my FSA card to buy anything at a pharmacy?

No. Your FSA card will only work for items the pharmacy has coded as FSA may be able to access in its system. If you try to buy something ineligible, the card will be declined. You can pay out of pocket instead, but you cannot get reimbursed from your FSA.

Are prescription glasses and contacts FSA may be able to access?

Yes. Eyeglasses, contact lenses, and the solution used with contacts are all FSA may be able to access. Eye exams are also may be able to access. Sunglasses are not may be able to access unless they are prescribed for a medical condition.

Is my gym membership FSA may be able to access if my doctor recommended it for my health?

No. Even with a doctor's recommendation, gym memberships and fitness programs are not FSA may be able to access. The IRS does not consider general fitness a may have access to medical expense, even if it helps manage a condition.

Can I use FSA funds to pay for my spouse's or child's medical expenses?

Yes, as long as they are your tax dependents and the expenses are FSA may be able to access. You do not have to be the person receiving the care to use your FSA funds to pay for it.

What happens if I accidentally buy something ineligible with my FSA card?

Contact your FSA plan administrator right away. Some plans allow you to dispute the transaction. If the purchase is confirmed as ineligible, you will owe the money back to your FSA account, usually through a payroll deduction.