Health Savings Accounts (HSAs) offer some great tax benefits, but the IRS has strict guidelines on using HSA funds for “medically necessary, rather than cosmetic” procedures. So, can you use your HSA to pay for dermatology visits? Let's explore the answer to this question and more in this comprehensive guide. First, let's talk about the tax benefits of HSAs. When you use your HSA account to pay for medical expenses, you can get a refund from the HSA. This is a great way to save money on medical expenses.
Now, let's talk about seeing a dermatologist and using your HSA. Many spa guests often wonder if they can use their health savings account to pay for services. Unfortunately, unless prescribed by a doctor, you cannot use your HSA for spa services. However, if you have had surgery or have a medical condition where a massage can help, talk to your doctor for a prescription and then you can reimburse yourself with your HSA.
It's also important to note that you can only use your HSA in cosmetic procedures that are necessary to improve a deformity due to a congenital anomaly, a personal injury resulting from an accident or trauma, or a disfiguring disease. Annual whole-body skin exams, diagnostic visits, and follow-up visits must be eligible expenses under an HSA or FSA plan. During a whole-body skin exam, the dermatologist will thoroughly evaluate the skin and may biopsy the lesions of concern. We recommend that all patients undergo annual skin checks, especially those with fair skin, frequent sun exposure, or a family or personal history of skin cancer.
Your dermatologist may recommend more frequent skin checks. You can also use your HSA or FSA to purchase acne cleansers, gels and creams, including home phototherapy kits with your benefits debit card. And all sunscreen products are also eligible, including tinted sunscreen lotion and SPF eye cream. Overall, HSAs offer some great tax benefits and can be used to pay for certain medical expenses. However, it's important to know what is covered by your HSA before spending money on medical procedures. Be sure to talk to your doctor and read up on the IRS guidelines before using your HSA.
