We understand that healthcare expenses can be costly even with a great insurance plan—especially when going through your motherhood journey. We want to make sure you know about one way you can reduce your personal healthcare costs during this exciting period of your life through FSA and HSA accounts. Let’s break it down.
What is an FSA/HSA?
Flexible Spending Arrangements (FSA) and Health Savings Accounts (HSA) are tax-advantaged accounts that you can use to pay for healthcare-related expenses with qualified insurance plans.
By allowing you to use pre-taxed income on certain health-related expenses, both FSAs and HSAs aid in reducing healthcare costs. Which also means, they help reduce your taxable income so that you pay less taxes overall. While both are similar, it’s essential to understand their fundamental differences in order to figure how an HSA or FSA may apply to you.
- An FSA is an employer-established benefit plan. You'll need to check if your employer or your partner’s employer offers this and choose to opt-in with a chosen amount to deduct from each paycheck. Take note that the funds you set aside don’t roll over from year to year—use them or lose them!
- An HSA is a medical savings account that is available to those who have enrolled in a high-deductible insurance policy. Unlike an FSA, self-employed taxpayers with high-deductible insurance policies can also create an account and funds placed into an HSA account can roll over from one year to the next. Like an FSA, you can choose how much to set aside for medical expenses. Note, that if you are eligible for Medicare, Medicaid, or are claimed as a dependent on another person’s tax return, an HSA will not be available to you.
What fertility and pregnancy products and services are covered by FSA/HSA?
HSAs and FSAs are meant to cover “qualified medical expenses” as defined by the IRS. This includes things like deductibles, prenatal appointment copayments and other health-related expenses. When it comes to pregnancy-related expenses, the following are considered eligible:
- Breast Pumps and Supplies
- Diagnostic Devices
- Pregnancy Tests
- IVF and Other Fertility Procedures
- Ovulation Tests
- Prescribed Medicines
- Vitamins Recommended by a Medical Practitioner as Treatment for a Specific Medical Condition
The IRS has a complete list of qualified medical expenses covered by FSA and HSA.
Which Perelel Products are covered by FSA/HSA?
We always recommend reviewing your individual plan but all of our vitamin packs should qualify.
How do you use your FSA/HSA money?
Generally, there are two ways you can use your FSA/HSA:
- Each plan may vary but you can make your purchase directly with an FSA/HSA debit card (if provided) when checking out.
- You can also save your receipt after you make your purchase, and submit the claim through your insurance provider’s system. Plans vary in the documentation required for reimbursement, but most just require a receipt of purchase of the qualifying item (email confirmation or paper receipt). Occasionally, you may also be required to provide an itemized receipt of your purchase along with a medical letter of necessity. We suggest logging into your provider's online portal (or calling them) for specific instructions.
If you have any questions or specific requests regarding your HSA/FSA-eligible Perelel purchases, please contact us at firstname.lastname@example.org.
Timing Guidelines for FSA/HSA Reimbursement
For FSA reimbursements, we recommend filing as soon as possible. Time limits may vary with individual plans, and some plans only give you until the end of your plan year. We recommend reviewing your plan for personal time constraints or grace periods.
HSA plan accounts can roll over from year to year, so there is no time limitation on when reimbursement claims must occur. It is important to note that you can not reimburse yourself for expenses that occurred prior to opening your HSA account. Regardless, make sure to save your receipts in the rare case of an IRS audit.
Organize Your Reimbursements
Now that you know that some pregnancy and postpartum expenses are covered, consider increasing your FSA/HSA election so that your prenatal and postpartum supplements are taken care of.
And once again, we strongly recommend that you keep any purchase receipts and documentation for qualifying expenses that you may be charged out of pocket.
This article is for informational purposes only. It is not, nor is it intended to be, a substitute for professional medical advice, diagnosis, or treatment and we recommend that you always consult with your healthcare provider. To the extent that this article features the advice of physicians or medical practitioners, the views expressed are the views of the cited expert and do not necessarily represent the views of Perelel.