Tax guide

Can I use my Health Savings Account (HSA) to buy over-the-counter drugs?

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Yes – after the Coronavirus pandemic hit the U.S., Health Savings Account (HSA) qualifications expanded to include over-the-counter (OTC) drugs and supplies, even including such items as lip balm, hot and cold packs, and athletic braces.

The CARES Act, which brought relief to Americans in the form of stimulus checks and improved unemployment insurance, also made these OTC drugs and supplies eligible for purchase with HSA and FSA funds.

HSA and FSA funds have tax benefits that make medical supplies more affordable in the long run.

For a full list of HSA qualified items, see HSA Store’s eligibility list.

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