Are Menstrual Pads and Tampons FSA Eligible?

Flexible Spending Accounts (FSAs) are tax-advantaged savings accounts designed for healthcare expenses. They allow individuals to set aside pre-tax money from their salary to pay for qualified medical, dental, and vision costs. This reduces taxable income, leading to tax savings. A common question concerns the eligibility of everyday necessities like menstrual pads and tampons for FSA reimbursement.

Eligibility Status of Menstrual Products

Menstrual pads and tampons are eligible for FSA reimbursement. This eligibility was established by the Coronavirus Aid, Relief, and Economic Security (CARES) Act, enacted in March 2020. The CARES Act expanded the definition of “qualified medical expenses” to include menstrual care products, retroactive to December 31, 2019. This allows individuals to use pre-tax dollars from their FSAs, Health Savings Accounts (HSAs), and Health Reimbursement Arrangements (HRAs) for these essential items.

The term “menstrual care products” encompasses a wide range of items designed for managing menstrual flow. These include:
Tampons
Pads
Panty liners
Menstrual cups
Sponges
Period underwear

The reclassification of these products as qualified medical expenses aims to broaden access to necessary health supplies and alleviate some of the financial burden associated with their regular purchase.

Using Your FSA for Eligible Purchases

Utilizing an FSA for eligible menstrual products involves a few practical steps, whether through a dedicated debit card or a reimbursement process. Many FSA plans provide a debit card, which functions similarly to a regular debit card, allowing direct payment at the point of sale. When using an FSA debit card, some retailers, particularly pharmacies and grocery stores, have systems that automatically identify eligible items at checkout, streamlining the purchase. However, it is advisable to retain all receipts, as some FSA providers may require verification, even when using the debit card.

If an FSA debit card is not used, or if a transaction is declined, individuals can seek reimbursement for out-of-pocket expenses. This process involves submitting a claim form to the FSA administrator. The claim form must be completed accurately, dated, and signed, detailing the expense. Supporting documentation is crucial for reimbursement claims, primarily consisting of itemized receipts.

These itemized receipts must clearly show specific details:
The vendor’s name
The date of purchase
A description of the item purchased
The cost of the expense

Credit card receipts or canceled checks are not sufficient on their own, as they often lack the necessary itemized detail required for substantiation by the IRS. Many major retailers, including pharmacies, grocery stores, and online FSA stores, sell FSA-eligible menstrual products, offering convenient purchasing options.