Can you use a flexible spending account for plastic surgery? This is a common question among individuals considering cosmetic procedures. As the popularity of plastic surgery continues to rise, more people are looking for ways to finance these treatments. One popular option is a flexible spending account (FSA), which allows employees to set aside pre-tax dollars for healthcare expenses. But is plastic surgery eligible for funding through an FSA? Let’s explore this topic further.
Flexible spending accounts are designed to help employees cover out-of-pocket healthcare costs that are not covered by insurance. These accounts are typically offered by employers as part of their employee benefits package. The funds contributed to an FSA are not subject to federal income tax, Social Security tax, or Medicare tax, which can result in significant tax savings for eligible employees.
When it comes to using an FSA for plastic surgery, the answer is not straightforward. The IRS provides specific guidelines on which healthcare expenses are eligible for FSA reimbursement. According to IRS Publication 502, eligible expenses include medical care, dental care, and vision care. Plastic surgery, as a medical procedure, can be considered eligible if it is performed for a reconstructive purpose.
Reconstructive surgery is defined as a medical procedure that is performed to improve function or to correct a physical deformity caused by a congenital abnormality, trauma, or disease. In this case, if the plastic surgery is aimed at improving a physical deformity or correcting a functional problem, it may be eligible for FSA reimbursement.
However, if the plastic surgery is performed for cosmetic reasons, such as breast augmentation or liposuction, it is generally not considered eligible for FSA reimbursement. The IRS states that cosmetic surgery is not considered a medical expense unless it is performed to correct a functional impairment or deformity resulting from a congenital abnormality, trauma, or disease.
It is important to consult with your employer and your healthcare provider to determine if your specific plastic surgery procedure qualifies for FSA reimbursement. Your employer’s FSA administrator may have specific guidelines regarding what is considered eligible, and your healthcare provider can provide you with documentation to support your claim.
In conclusion, while it is possible to use a flexible spending account for plastic surgery, it is crucial to ensure that the procedure is performed for reconstructive purposes. Always check with your employer and healthcare provider to understand the specific requirements and guidelines for your FSA. By doing so, you can make informed decisions about using your FSA to finance your plastic surgery needs.
