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Can you pay for air purifiers with an HSA?

If you have a high-deductible health insurance plan (HDHP) or are considering getting one, you may be wondering if you can save money by paying for air purifiers with the pre-tax funds in your health savings account (HSA).

Here's the clear answer:

You may be able to use your HSA to pay for Air purifiers, but only when used to treat, monitor, or manage a diagnosed medical condition and supported by a Letter of Medical Necessity (LMN) from a licensed healthcare provider.

Explore HSA eligibility for other products and services

HSA fast facts

  • Health savings accounts (HSAs) were created as part of the Medicare Prescription Drug, Improvement, and Modernization Act, or MMA, signed into law by President George W. Bush on December 8, 2003. The MMA was the largest overhaul to Medicare in the program's history.
  • HSAs are only available as part of a high-deductible health insurance plan (HDHP).
  • As part of the 2020 CARES Act, over-the-counter medications and menstrual care products are now eligible for purchase with health savings accounts (HSAs), flexible spending accounts (FSAs), and health reimbursement arrangements (HRAs). This list includes products like allergy medication, pain relievers, prenatal vitamins, and tampons.
  • Contributions to an HSA can be made by an employer and/or employee on a pre-tax basis. You can find current and historical HSA contribution limits on this site.
  • Funds in a health savings account can be invested in a similar way as other retirement accounts and are a rare example of an account that's triple tax advantaged. That is, funds are contributed pre-tax, can be withdrawn for eligible medical expenses without taxation, and if you invest the funds within your HSA the earnings or interest are tax free. Find out just how much you can save by investing your HSA funds using our HSA vs 401(k) vs Roth IRA investment calculator.
  • Funds can be withdrawn at any time for any reason, but funds withdrawn for non-approved medical expenses before the age of 65 are subject to income taxes and an additional penalty.
  • You can no longer contribute to an HSA once you're enrolled in Medicare.

Sources

As seen in

New York Times


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