Can You Use Your HSA for Chiropractic Care?
Navigate the IRS guidelines for using your Health Savings Account (HSA) for chiropractic care. Understand eligibility, necessary documentation, and payment methods.
A Health Savings Account (HSA) provides a tax-advantaged savings mechanism for qualified medical expenses. These accounts offer a triple tax benefit: contributions, investment growth, and withdrawals for eligible healthcare costs are tax-free. This article clarifies how chiropractic care aligns with HSA eligibility rules.
Understanding Eligible Medical Expenses
The Internal Revenue Service (IRS) defines “medical care” for HSA purposes as amounts paid primarily for the diagnosis, cure, mitigation, treatment, or prevention of disease, or for affecting any structure or function of the body. This broad definition covers many common healthcare services. Examples include fees for doctor visits, hospital services, prescription medications, and dental or vision care.
Conversely, certain expenses are not considered eligible. These include cosmetic procedures not medically necessary, general health expenses without a specific medical condition, or over-the-counter items without a doctor’s prescription. The expense must be for a genuine medical purpose, not general health improvement or appearance.
Chiropractic Care and HSA Eligibility
Chiropractic care can be an eligible HSA expense, provided it meets the IRS definition of “medical care.” This means services must be for the diagnosis, treatment, or prevention of a specific physical ailment or condition. For example, adjustments to treat back pain, neck pain, or a diagnosed musculoskeletal disorder generally qualify. The care must aim to alleviate a physical defect or illness, or affect a specific bodily function.
However, not all chiropractic visits are eligible for HSA funds. Routine or general wellness care, such as visits solely for maintenance or overall health improvement without a specific medical condition, typically do not qualify. The care should be prescribed or recommended by a licensed chiropractor to address a specific health issue. The treatment must be medically necessary and documented to align with HSA guidelines.
Documenting Your Chiropractic Expenses
Maintaining thorough records is essential, even though you are not required to submit receipts to your HSA administrator for every transaction. These records are crucial in the event of an IRS audit, where you would need to substantiate that your HSA distributions were for eligible medical expenses.
Your documentation should include itemized receipts from the chiropractor, detailing the services rendered, dates of service, and amounts paid. It is also beneficial to have records linking the chiropractic care to a specific medical condition or diagnosis. A treatment plan or a referral from another medical professional can further support the medical necessity of the services.
Using Your HSA for Chiropractic Services
Many HSA custodians provide a debit card, allowing you to pay for services directly at your appointment. This method offers immediate access to your tax-advantaged funds.
Alternatively, you can pay for chiropractic services out-of-pocket and then reimburse yourself from your HSA. This process involves logging into your HSA account online, submitting a reimbursement claim, and providing expense details. Funds are then transferred from your HSA to your linked bank account. Distributions from an HSA for qualified medical expenses are not subject to federal income tax.