Have to love employers who offer tax-advantaged flexible spending accounts (FSAs).
Employees estimate how much money they’ll spend for health care in a year. Then employers deduct money from an employee’s pay and deposit it into an FSA.
We can thank the IRS that this money is not subject to payroll tax when spent on qualified medical expenses.
The only caveat is that employees lose money in their accounts that they don’t spend in a calendar year.
Currently, you can use your flexible spending account for chiropractic care.
Just keep in mind that the IRS makes the decisions on what is and what is not covered. & they change their minds sometimes.
Then there’s always gray area, which is open for interpretation.
The IRS makes changes from time-to-time, so check their publications.
The Medical and Dental Expenses publication states:
“You can include in medical expenses fees you pay to a chiropractor for medical care.”
This rather short statement covers the core things I do such as exams, diagnostic tests and spinal adjustments.
More good news:
“You can include in medical expenses amounts paid for transportation primarily for, and essential to, medical care.”
This includes gas for your car and public transportation to come to our office. Just keep track of your mileage.
The IRS draws a distinction between medical care and general health.
Most preventive and maintenance expenses don’t qualify. Examples include vitamins, exercise equipment and gym memberships.
Weight loss programs don’t qualify either unless you’re under medical supervision for a condition such as diabetes or cardiovascular disease.
Talk with your benefits administrator because companies sometimes have restrictions of their own.
In most cases benefits companies allow everything the IRS does. But sometimes, they have additional restrictions.
I’m not providing tax advice or addressing your specific situation, but the IRS publications I mentioned will give you a broad overview.
You’ll also learn where to go if you need more information.
Robert W. Ferguson, D.C., F.I.A.M.A., state-licensed chiropractor and acupuncturist, sees patients at 2250 W. 86th Street, Ste. 100, on the north side of Indianapolis by Le Peep restaurant. Just look for the orange sign.
Chiropractic Rehabilitation & Acupuncture now accepts Healthy Indiana Plan for chiropractic services, and most insurance for chiropractic therapy and acupuncture.