HSA OVER-THE-COUNTER ITEMS AND MEDICATIONS APPLICABLE FOR HSA PLANS

The CARES Act, signed into law on March 27, 2020, permanently eliminated the Affordable Care Act (ACA) requirement that participants in a Health FSA, HSA, and certain HRA plans must obtain a doctor's prescription to be reimbursed for non-prescription “Over the Counter” drugs and medicines. This common-sense change is exciting news for individuals and employees. We have prepared this FAQ to help you understand what this change means and the steps taken to enhance your experience.

Q: Which over-the-counter (OTC) drugs and medicines are reimbursable without a physician’s prescription?
A: The number of OTC drugs and medicines that are now reimbursable under a standard Health FSA, Section 213 HRA, or HSA without a prescription is too long to list. The list includes almost 19,000 items. Below are just a few of the types of OTC expenses covered under this law:

The CARES Act has also added an entirely new category of allowable expenses. Hundreds of OTC Menstrual care products are now reimbursable without a prescription, including tampons, pads, liners, cups, sponges, Face Masks, and much more!

Acid Controllers C- PAP Machines Prenatal Vitamins Allergy and Sinus Medicine Digestive Remedies Respirator Treatments Anti-Gas Products Hemorrhoid Medicine Sleep Aids and Sedatives Anti-Itch and Insect Bite Medicine Laxatives Stomach Remedies Blood Pressure Monitors Motion Sickness Treatments Sunscreen (SPF 15+) Cough, Cold & Flu Medicine Band-Aids Aspirin Decongestants Sinus and Allergy Meds.

We are eager to hear from you if you would like more information, including several additional documents that show more items and services you may write off, and ways to earn interest on these funds.

2026 MAXIMUM CONTRIBUTION

For the 2026 Tax Year, single tax filers may contribute up to $4,400 if they started their HSA Health Plan on January 1, 2026, and opened a special Health Savings account at a sponsoring financial institution in December for January. This is a $100 increase from 2025. Married Couples may contribute up to $8,750 for the 2025 tax year, if their HSA health plan has covered both, and they have activated their Health Savings Account. You may wait until April 15th of the following year to fully fund your HSA account for your 2025 tax year. You must pro-rate the total annual amount if your plan did not start on January 1st.

If you are over 55 years old, you may contribute an additional $1,000 for the calendar year, bringing your total contribution to $5,400 for 2026. The maximum amount for a family with two people in the household is $8,800, provided both are on a qualified HSA plan. If both members are married and each is over 55, the household is entitled to a maximum annual contribution of $10,330. Contributions must stop at age 64.5 if the person is going on Medicare or decides to take Part A at age 65..