Can I Pay for My Dental Care With My FSA or HSA?

April 10, 2023
women looking confused

How to Use Your Benefits to Plan Ahead for Anticipated Dental Expenses

A Flexible Spending Account (FSA) or Health Savings Account (HSA) are helpful benefits that many people use to pay for medical bills, care services, prescription medications, and certain over-the-counter products throughout the year. Opening and depositing money into these accounts can help you manage your money and potentially lower the amount of taxes you pay on your income.

It can be hard to keep track of the kinds of expenses you can pay with these accounts. The list of possibilities is long, but the great news is that dental expenses are FSA or HSA eligible! Keep reading to learn more about the new contribution limits in 2023 and how you can use your funds when you visit your dentist’s office.

2023 FSA or HSA Contribution Limits

Each year, the Internal Revenue Services (IRS) evaluates the limits for pre-tax contributions to HSA or FSA accounts. In 2023, the IRS increased contribution limits for both. Note that you cannot contribute to both an FSA and an HSA in the same calendar year.

If you have an HSA as an individual, you can contribute a maximum of $3,850. If you have an HSA with your family insurance coverage, you can contribute a maximum of $7,750.

If you have an FSA, you can contribute a maximum amount of $3,050, and you can access your full annual contribution even before you’ve made all your deductions in 2023, unlike an HSA. This means you could pay for necessary or elective dental treatments before the end of the calendar year. A flexible spending account for dental care can be very helpful for surprise dental expenses, thanks to this IRS regulation.

When Do HSA or FSA Funds Expire?

If you have an HSA, there’s great news: your funds never expire, and you can keep your money for as long as you’d like, as long as it stays in a tax-advantaged bank account in your name. You can even use these funds at any time for eligible dental expenses. However, you must have a high-deductible health plan (HDHP) to continue making contributions to an HSA.

If you pay into an FSA, your funds usually expire at the end of the calendar year. Some FSA plans offer a grace period that gives you a couple of extra months into the next year to use your money. If you don’t spend it by the deadline, however, you will lose your money. In some cases, you can carry over a balance of your FSA into the new year; the carryover limit for 2023 is $610.

How Can I Use My HSA or Flexible Spending Account for Dental Care?

The best way to ensure you have plenty of funds to cover dental expenses is to be strategic about any elective or cosmetic dentistry procedures you or your family members plan to receive during the year.

You can use the money from:

  • Either an active HSA or FSA or
  • Money from your active FSA and a past HSA account with a leftover balance or
  • Wait until 2024 to use your FSA’s carry-over balance of $610 and contributions from your 2024 HSA.

Beyond these regulations, it’s easy to pay for dental expenses using an FSA or HSA. Simply use the debit card assigned to your account, or pay out of pocket and request reimbursement through your plan.

Does My HSA or FSA Cover All Dental Expenses?

Most dental care and cosmetic dental treatments are FSA or HSA eligible, meaning you can pay for these expenses using your pre-taxed contributions.

Covered dental expenses include, but are not limited to:

Always check your HSA or FSA plan’s policy to ensure individual expenses are eligible.

Can I Use HSA or FSA Funds in Conjunction With Other Dental Financing?

Your FSA or HSA money is as good as regular cash when it comes to paying for dental expenses. This means you can combine these funds with other forms of financing, including your dentist’s in-office discount program, payment plans, or other credit programs.

Your money also can be used in conjunction with dental insurance coverage, such as for copays or coinsurance.

Ready to glow with a confident smile, thanks to the expertise and experience of your dentist? Put your HSA or FSA money to work for you, and schedule an appointment for a dental visit.