Qualified Medical Expense
Healthcare costs that can be paid or reimbursed tax-free from your HSA, as defined by the IRS.
What is Qualified Medical Expense?
A qualified medical expense (QME) is any medical cost that the IRS says you can pay or reimburse tax-free from your HSA. These are defined in IRS Publication 502 and include most expenses for the diagnosis, cure, mitigation, treatment, or prevention of disease.
Qualified expenses include doctor visits, prescription drugs, dental and vision care, mental health services, medical equipment, and many more. They don't include cosmetic procedures, general health items (like gym memberships), or health insurance premiums (with limited exceptions).
For HSA purposes, expenses are qualified if they're incurred after you opened your HSA. You can reimburse yourself years later - there's no deadline to take the distribution, as long as the expense occurred after your HSA was established.
Frequently Asked Questions
Where can I find the list of qualified expenses?
IRS Publication 502 has the official list. Most medical, dental, and vision expenses that treat or prevent illness qualify.
Are over-the-counter medications qualified expenses?
Yes, since the CARES Act (2020). OTC medications and menstrual care products are now HSA-eligible without a prescription.
Can I pay for my spouse's expenses from my HSA?
Yes. You can use HSA funds for qualified expenses for yourself, your spouse, and your dependents, even if they're not on your HDHP.
Related Terms
Eligible Expense
A healthcare cost that qualifies for HSA payment or reimbursement. Same as qualified medical expense.
Ineligible Expense
A healthcare-related cost that cannot be paid tax-free from an HSA, such as cosmetic procedures or gym memberships.
IRS Publication 502
The official IRS document listing which medical and dental expenses qualify for tax benefits.
Related HSA Expenses
Learn More
Track your HSA expenses
Now that you understand the terms, put your knowledge to work. Track expenses and reimburse yourself tax-free.
Get Started Free