Can Cold Sore Treatments be Claimed for HSA or FSA?

It’s frustrating enough to have the herpes virus, but paying for costly herpes treatments out-of-pocket adds insult to injury. Fortunately, you can use a Health Savings Account (HSA) or Flexible Spending Account (FSA) to cover planned herpes medical expenses.

Learn more about the differences between an HSA and an FSA and how you can claim your cold sore treatments and keep more money in the bank.

What is an FSA?

A Flexible Spending Account (FSA) is an account used specifically for certain out-of-pocket health care expenses. It’s commonly offered by U.S-based employers as a benefit to offset the cost of health-related expenses.

You select the amount of pre-tax income to allocate into your FSA. For example, say you want $100 of every paycheck sent to your FSA. That $100 is withheld from each paycheck as pretax earnings. You don’t pay any taxes on it at all! Instead, that $100 is held in your FSA account until you’re ready to spend it on health and medical needs.

What is an HSA?

A Health Savings Account (HSA) is very similar to an FSA. However, instead of being provided as an employee benefit, HSA accounts can be set up by anybody. You make tax-deductible contributions to your HSA whenever you choose. Those funds accrue and remain in your HSA until you need to spend them on approved medical expenses.

What are the Similarities and Differences Between HSA and FSA?

HSAs and FSAs are very similar, but present key differences as well. Be sure to evaluate both options before deciding which is best for your financial situation.

The Similarities

Health Savings Accounts and Flexible Spending Accounts share a few similarities. Overall, they serve the same purpose of helping individuals save pre-tax income or tax-deductible income specifically for healthcare spending. They both impose specific contribution limitations and they both help account holders save tax dollars. Beyond those similarities, these two accounts have several distinguishing features.

The Differences

The first difference between an HSA and an FSA relates to who is able to hold an account. FSAs are most commonly available only to employees of a company offering an FSA benefits program. As a result, contractors and self-employed workers don’t have access to FSA benefits. HSA accounts are more accessible to all workers; employees and contractors alike can open an HSA plan without an employer posing as the middleman.

HSAs and FSAs also impose different contribution rules. The contribution limits change annually, but HSA accounts usually allow higher contributions than FSA accounts. This year, for example, an individual can contribute up to $2,700 into an FSA or $3,500 into an HSA. Health Savings Accounts also offer more flexibility to adjust contributions throughout the year, whereas FSA contributions must be confirmed during an employer’s open enrollment period.

Finally, the fate of any leftover HSA and FSA funds at the end of the year also varies. HSA funds never expire. Leftover money simply rolls over into the next calendar year. These funds can even be held in investment accounts to earn interest over time. FSA accounts don’t offer this flexibility since the money is invested as pre-tax earnings. All FSA funds expire at the end of the year, so it’s best to spend every penny before time runs out.

Is Cold Sore Treatment Eligible for Reimbursement From FSA’s or HSA’s?

If you want to purchase the best cold sore treatment that money can buy, but you don’t want to pull from your wallet, you’re in luck. Cold sore treatment is an eligible over-the-counter treatment for reimbursement with an FSA or HSA account.

You may even have a checkbook or credit card linked to your FSA or HSA account to purchase your herpes treatment directly. This eliminates the reimbursement process altogether. If you want to purchase the Luminance RED for cold sore treatment using your FSA or HSA, you can!

Is Canker Sore Treatment Eligible for Reimbursement from FSA’s or HSA’s?

Yes, canker sore treatment is eligible for reimbursement from HSAs and FSAs. These accounts allow the purchase of any prescription medication, over-the-counter remedy, doctor's checkup, and lab work related to your health and wellness. Treatment for chronic, painful canker sores qualifies as such a purchase. Just be sure to keep your receipt. So if you want to purchase the Luminance RED for canker sore treatment using your FSA or HSA, you can!

Is Genital Herpes Treatment Eligible for Reimbursement from FSAs or HSAs?

Some genital herpes treatments are eligible for reimbursement from HSAs and FSAs. However, the Luminance RED is not one of them. Be sure to ask your provider how they define a health or medical expense to determine which genital herpes treatments may be eligible for reimbursement under your plan.

How Does the Reimbursement Process Work?

The reimbursement process varies widely between insurance companies, and no two providers use the same system. It’s best to confirm the reimbursement process with your provider.

The good news is that you can easily use an FSA or HSA to cover your cold sore treatment costs on a regular basis. This makes obtaining treatment for your herpes outbreaks simple, fast, and stress-free.