Question 1

Is Dexcom Stelo definitely eligible for FSA and HSA reimbursement?

Accepted Answer

Dexcom states on its product pages that Stelo is eligible for purchase with FSA and HSA funds. The company positions it as a qualified medical expense because it is used to manage glucose and lower A1C. However, the final approval always depends on your specific plan administrator and account rules. You should verify with your administrator before assuming coverage, as some plans may have specific lists of approved items or require additional documentation.

Question 2

Do I need a prescription to use my HSA or FSA for Stelo?

Accepted Answer

No. A major feature of Stelo is that it does not require a prescription, as it is an over-the-counter product. This simplifies the purchase process compared to traditional prescription CGMs. For reimbursement, you typically only need a detailed receipt showing the date, merchant (Dexcom/Stelo), item description, and amount paid. Prescription CGMs often need a Letter of Medical Necessity, but Stelo's OTC status generally removes that hurdle.

Question 3

How do I actually pay for Stelo with my HSA or FSA card?

Accepted Answer

According to Stelo's guidance, you can use your HSA or FSA debit card directly at checkout on their online store. If the card is declined, which can happen if the merchant category code isn't recognized, you have two options. Pay out-of-pocket and submit the invoice for reimbursement through your account's claims portal. Or, contact your plan administrator to resolve the card issue. Stelo specifically directs users to their administrator if the card does not work.

Question 4

Will my health insurance cover Stelo?

Accepted Answer

Stelo is sold on a cash-pay model and is not currently covered by health insurance. This is a distinct difference from Dexcom's prescription CGMs. Your path to affordability is through the tax advantages of your FSA or HSA, not through your insurance plan's deductible or co-pay. This makes it an ideal expense for those looking to use pre-tax dollars specifically set aside for healthcare.

Question 5

What is the best way to document this purchase for IRS substantiation?

Accepted Answer

Keep a detailed receipt from your Stelo purchase. This receipt must show the date of service, the name of the merchant, a description of the service or product (e.g., 'Dexcom Stelo Glucose Biosensor - 30-day supply'), and the amount you paid. Save this receipt with your other tax records. For HSA owners, you may need to provide this if the IRS ever audits your qualified medical expense claims. Good record-keeping prevents problems.

Question 6

Can I use my FSA for Stelo if I don't have an HDHP?

Accepted Answer

Yes, you can use a Flexible Spending Account (FSA) to pay for Stelo regardless of your health insurance plan type. FSAs are not tied to High Deductible Health Plans. However, you must be enrolled in an FSA through your employer. Remember that FSA funds typically have a 'use-it-or-lose-it' rule, so planning your Stelo subscription around your FSA balance and plan year is a smart move.

Question 7

Is the Stelo subscription discount eligible for FSA/HSA reimbursement?

Accepted Answer

Yes, the discounted subscription price of $89 per month should be fully reimbursable. The amount you actually pay is the eligible expense. If you get a 10% or 15% subscription discount, or free shipping, your reimbursable cost is the final charged amount. Just ensure your receipt clearly shows the final transaction total after any discounts are applied.

Feature	Using a Flexible Spending Account (FSA)	Using a Health Savings Account (HSA)
Account Ownership & Portability	Employer-owned. You typically lose access if you change jobs, though you can submit claims for prior expenses.	Individually owned. The account stays with you for life, regardless of employment changes.Winner
Contribution Limits (2026)	Determined by employer, up to an IRS limit ($3,300 for self-only, $6,550 for family in 2025, adjust for 2026).	Individual limits ($4,300 self-only, $8,650 family in 2025, plus $1,000 catch-up at 55+). Adjust for 2026.Winner
Use-It-Or-Lose-It Rule	Yes. Most funds must be spent within the plan year, with limited carryover ($640 for 2025) or a short grace period.	No. Funds roll over indefinitely and can be invested for growth.Winner
Tax Treatment of Funds	Pre-tax contributions. No tax on qualified withdrawals. No investment growth potential.	Triple tax advantage: pre-tax contributions, tax-free growth, tax-free withdrawals for qualified expenses.Winner
Eligibility Requirement	Must be offered by employer. No specific health plan requirement.Winner	Must be enrolled in a qualified High Deductible Health Plan (HDHP).
Ease of Use for Stelo Purchase	Simple if card works. Funds are immediately available. Risk of losing unspent money may pressure spending.Tie	Equally simple at checkout. Greater flexibility to pay out-of-pocket now and reimburse later from a growing balance.Tie
Impact on Long-Term Healthcare Savings	Minimal. It's a short-term spending tool for known annual expenses.	Major. Can be a powerful investment vehicle for future healthcare costs in retirement.Winner
Best For Stelo Subscription Planning	Good for budgeting a known annual cost ($1,068 for a yearly subscription) into a single plan year.	Excellent for flexibility. You can pay monthly and reimburse anytime, or let the subscription cost come from invested funds.Winner

Using a Flexible Spending Account (FSA) vs Using a Health Savings Account (HSA)