Does Your HSA Cover Blue Light Glasses?
Clarify whether blue light glasses are an HSA-eligible expense. Learn the criteria for qualified medical purchases and how to properly utilize your health savings.
A Health Savings Account (HSA) is a tax-exempt trust or custodial account established with a qualified trustee, such as a bank or insurance company. This account offers a tax-advantaged way for individuals to save for and pay certain medical expenses. Funds contributed to an HSA are not subject to federal income tax at the time of deposit, grow tax-free, and can be withdrawn tax-free for qualified medical expenses.
HSA Eligibility for Medical Expenses
The Internal Revenue Service (IRS) defines qualified medical expenses for Health Savings Accounts. According to IRS Publication 502 and Internal Revenue Code Section 213, medical expenses are amounts paid for the diagnosis, cure, mitigation, treatment, or prevention of disease. These expenses also include costs incurred for the purpose of affecting any structure or function of the body.
Qualified medical expenses cover medical care, dental care, vision care, and prescription drugs. However, the expense must primarily alleviate or prevent a physical or mental illness or defect. Expenses that are merely beneficial to general health, such as vitamins or general wellness items not prescribed for a specific medical condition, generally do not qualify. This foundational rule helps determine whether various health-related purchases, including specialized eyewear, are eligible for HSA funds.
Blue Light Glasses as Qualified Medical Expenses
Blue light glasses can be a qualified medical expense for HSA purposes, if specific conditions are met. This depends on whether they are prescribed by a medical professional for a diagnosed medical condition. If an eye doctor, optometrist, or ophthalmologist prescribes blue light glasses to treat issues like digital eye strain, chronic headaches, or sleep disturbances directly related to light sensitivity, they generally qualify.
They become a medical necessity when part of a treatment plan for a specific health issue. Non-prescription blue light glasses, purchased for general comfort or preventative measures without a medical diagnosis, are generally not eligible for HSA reimbursement. In some cases, a letter of medical necessity from the prescribing healthcare provider may be required by the HSA administrator to substantiate the expense.
Process for Using HSA Funds
Account holders can use an HSA-linked debit card at the point of purchase, or pay for the expense out-of-pocket and then reimburse themselves from their HSA. There is no time limit for reimbursing yourself for qualified medical expenses, provided the HSA was established before the expense was incurred.
Keeping records is important for all HSA transactions, especially for tax purposes and in the event of an IRS audit. This documentation should include detailed receipts, explanations of benefits (EOBs) from insurance providers, and any doctor’s notes or prescriptions that substantiate the medical necessity of the expense. These records prove that the distributions were for qualified medical expenses, were not reimbursed from another source, and were not claimed as an itemized deduction on a tax return in any year. Retain these records for at least three years, or as long as the HSA account remains open, whichever period is longer.