Tag: eligible purchases

Flexible spending accounts (FSAs) and health savings accounts (HSAs) allow individuals to set aside pre-tax money for healthcare expenses, but strict IRS rules govern eligible purchases. Misusing these funds can result in penalties. While FSAs expire annually and HSAs roll over, both require careful tracking of expenses. Common ineligible purchases include supplements without a practitioner’s recommendation, missed appointment fees, maternity clothes, cosmetic procedures, toiletries, and childcare. To stay compliant, consult your plan administrator and utilize