Can You Use a Flexible Spending Account for Dental?

Flexible Spending Accounts (FSAs) allow individuals to set aside pre-tax income for eligible medical expenses. These employer-sponsored accounts provide a tax advantage by reducing taxable income. Understanding how FSAs function, particularly concerning dental care, is important for maximizing their benefits.

Eligible Dental Expenses

Many dental procedures and services are eligible for Flexible Spending Account (FSA) reimbursement. This includes treatments for preventing, diagnosing, or treating a dental disease or condition. Routine preventative care, such as teeth cleanings and fluoride treatments, is eligible.

Diagnostic services like X-rays, and common restorative procedures such as fillings, sealants, and extractions, also qualify. More complex treatments like root canals, crowns, bridges, or dentures are covered. Orthodontia, including braces, is eligible when it corrects dental issues. Medically necessary oral surgeries, gum disease treatment (periodontics), and temporomandibular joint (TMJ) disorder management also qualify.

Ineligible Dental Expenses

While FSAs cover a broad range of dental services, certain expenses are not eligible for reimbursement. Procedures performed solely to improve appearance, such as teeth whitening or cosmetic veneers, are excluded. Orthodontia undertaken purely for cosmetic reasons, without addressing functional issues, also does not qualify.

Common over-the-counter dental hygiene products like toothpaste, toothbrushes, and dental floss are ineligible. The Internal Revenue Service (IRS) guidelines specify that expenses must be primarily for the diagnosis, cure, mitigation, treatment, or prevention of disease to be eligible. If a dental procedure or product does not meet this medical necessity criterion, it cannot be reimbursed through an FSA.

Using Your FSA for Dental Care

Using your Flexible Spending Account for dental expenses involves either direct payment with an FSA debit card or submitting a claim for reimbursement. Many FSA plans issue a debit card that can be used directly at the dental office for eligible services. When using the debit card, some transactions may be automatically approved if the merchant’s system can verify eligibility at the point of sale. However, not all transactions auto-substantiate, particularly for services where the exact eligible amount isn’t immediately clear.

For expenses not paid with a debit card, or if substantiation is required, individuals must submit a claim for reimbursement to their FSA administrator. This typically involves completing a claim form and providing detailed documentation, such as an itemized statement from the dental provider or an Explanation of Benefits (EOB) from an insurance company. This documentation must clearly state the date of service, the provider’s name, a description of the procedure, and the amount charged. Retain all receipts and documentation for potential review by the FSA administrator or the IRS.

Key Considerations for FSA Dental Use

Flexible Spending Accounts are subject to specific rules that impact how dental funds are utilized throughout the plan year. The “use-it-or-lose-it” provision requires participants to spend their FSA funds by the end of the plan year or forfeit any remaining balance. However, employers have options to provide some flexibility.

Employers may offer either a grace period or a carryover option, but not both. A grace period extends the time to incur eligible expenses, usually by up to two and a half months after the plan year ends. Alternatively, a carryover provision allows a limited amount of unused funds to roll over into the next plan year, for example, up to $660 for 2025. It is important to confirm which, if any, of these options your specific FSA plan offers.

Proper substantiation of expenses is crucial for FSA use. The IRS requires that all FSA transactions be verified as eligible medical expenses, necessitating accurate record-keeping. For dental expenses of dependents, a healthcare FSA can be used for a spouse and qualified dependents. However, a Dependent Care Flexible Spending Account (DCFSA) is specifically for childcare or adult dependent care expenses, such as daycare, and cannot be used for medical or dental costs.