Cold Plunges, Saunas, and Other FSA Eligible Items to Purchase for the New Year

What are your health and wellness goals for the New Year? Did you know you could use your Flexible Spending Account (FSA) to purchase some of your favorite health-boosting essentials? From cold plunges to saunas, several FSA-eligible products can help you feel better while maximizing your FSA benefits. Let us discuss these items to help you start the year on a high and refreshed note. 

Understanding an FSA

An FSA, or Flexible Spending Account, is a form of savings account that allows owners to allocate pre-tax money to pay for eligible healthcare expenses. FSAs are offered as part of employer-sponsored benefits programs and can help you save money on medical, dental, vision, and other health-related costs. Here are some things you should know about an FSA.

Tax Advantages: Contributions to an FSA are made with pre-tax dollars, saving you money on taxes and reducing your taxable income. 

Eligible Expenses: FSA funds can be used for different healthcare expenses, such as prescription medications, copayments, deductibles, medical devices, and some over-the-counter products depending on eligibility rules.

Use-It-or-Lose-It Rule: Most FSAs operate under a "use-it-or-lose-it" policy. This means that any unused contributions or benefits at the end of the plan year are forfeited. However, some plans may offer a rollover option or grace period.

Annual Contribution Limits: The IRS ( Internal Revenue Service) sets annual contribution limits for FSAs. For instance, the limit for 2025 is $3,300

Employer-Sponsored: FSAs are only available through an employer, meaning self-employed people cannot open one.

Types of FSAs include: 

·       Healthcare FSAs 

·       Dependent Care FSAs 

·       Limited Purpose FSAs

Products that are FSA eligible include:

·       Health monitoring devices

·       Medical, dental, and vision expenses

·       Family planning items

·       Elderly expenses

·       First aid supplies

·       Menstrual products

·       Baby and child supplies

·       Restricted vision and dental expenses for people with an HSA (Health Savings Account)

FSAs can help you manage healthcare costs more efficiently, especially if you foresee significant out-of-pocket medical expenses.

FSA Eligible Products & Expenses You Should Know About

 

Here are FSA-eligible items to help you achieve your health and wellness objectives in the new year.

·       Cold Plunges

The cold plunge tub is an FSA-eligible product that is becoming increasingly popular for its recovery and wellness benefits. Cold water immersion is ideal for athletes and wellness enthusiasts looking to improve their overall wellness. Cold water exposure helps reduce inflammation and soreness after intense workouts. In addition to promoting improved blood flow, which can aid overall cardiovascular health, cold therapy has been shown to increase endorphins and reduce stress, providing a mental boost.

Ice baths and cold plunges can be FSA eligible, but you must follow a specific process. A cold plunge tub can be recognized for its therapeutic benefits, such as reduced inflammation, muscle recovery, and enhanced immune function. To qualify for FSA funds, you’ll need an LMN (Letter of Medical Necessity) from your healthcare provider. The letter must describe the medical condition that validates using a cold plunge as a preventative or treatment measure.

·       Saunas

You can purchase the best sauna for home if you have an LMN from your healthcare provider. Remember, FSA-eligible products or expenses include medically necessary equipment and treatments. To use your FSA to buy a sauna, the sauna must qualify as a treatment or medical expense. An LMN must validate the health benefits of the sauna for therapy or treatment. Today, saunas are considered beneficial tools for physical and mental health. As a result, FSA cards are accepted as medical and health expenses when supported by an LMN.

Saunas offer numerous health benefits. For example, sweating in a sauna helps flush out toxins from the body. Further, the intense heat in a sauna promotes relaxation and reduces stress levels, and some studies suggest that regular sauna sessions can reduce blood pressure and improve heart health. 

Other FSA-Eligible Items to Consider

Apart from cold plunges and saunas, the following FSA-eligible items can support your health and wellness goals. 

·       Heated Massage Gun

A heated massage gun is a versatile wellness device that combines the benefits of percussive massage therapy and heat therapy. It targets muscle soreness, tension, and stiffness. The gun uses rapid, repetitive pulses to penetrate deep into muscle tissues while incorporating heat to enhance relaxation and recovery. The heated massage gun is designed to:

·       Provide high-speed, rhythmic pulses to stimulate blood flow and relieve muscle tightness

·       Deliver soothing heat to the muscles, improving circulation and promoting relaxation

·       Help with muscle recovery after intense workouts or physical activities

·       Reduce stiffness and enhance the effectiveness of the massage

·       Keep muscles loose and flexible, reducing the risk of strains or injuries.

·       Managing stiffness or chronic pain in areas like the neck, back, and shoulders

Compression Garments

Compression garments are specially designed clothing items that apply controlled pressure to specific areas of the body. They are commonly used for athletic, medical, and aesthetic purposes to reduce swelling, improve circulation, and support recovery. These garments are made from elastic materials like spandex or lycra to provide a snug fit that promotes various health and wellness benefits. Types of compression garments include:

·       Medical compression garments, including compression sleeves, stockings, socks, and wraps. These are used to treat conditions such as deep vein thrombosis (DVT), lymphedema, and varicose veins. 

·       Athletic compression wear worn during or after exercise to aid muscle recovery and improve performance 

·       Maternity compression wear which provides support for the back and abdomen, helping reduce swelling while promoting circulation during pregnancy. 

Health Monitoring Tools

Health monitoring tools are equipment and devices that help individuals monitor, manage, and maintain their health. Many of these tools are FSA-eligible, and are valuable for preventive care and managing chronic conditions. They include:

·       Blood pressure monitors used to track blood pressure levels at home, helping manage hypertension or hypotension. They are available in automatic wrist or arm-cuff models for convenience and accuracy. 

·       Thermometers, which are essential for monitoring body temperature, particularly during illness or fever. You can buy infrared, digital, or ear thermometers.  

·       Wearable medical alert systems which provide emergency alerts for elderly people or those with health conditions. 

·       Pulse Oximeters which monitor heart rate and measure blood oxygen levels. They are often used by people with respiratory conditions like Chronic Obstructive Pulmonary Disease or asthma.

Sunscreen

Surprisingly, you can purchase your favorite sunscreen using an FSA. Sunscreens are topical products meant to protect the skin from harmful ultraviolet radiation from the sun. They are essential for preventing sunburn, reducing the risk of skin cancer, and minimizing premature aging caused by UV exposure. Sunscreens are available in several formulations and types to suit different skin needs and activities. They protect the skin by leveraging organic compounds like avobenzone or oxybenzone to absorb UV radiation and convert it into heat, which is then released from the skin. They also use active ingredients like zinc oxide or titanium dioxide to create a barrier that reflects and scatters UV radiation away from the skin. Types of sunscreens include:

·       Broad-spectrum sunscreens

·       Chemical sunscreens

·       Water-resistant sunscreens

·       Specialty sunscreens

·       Mineral sunscreens

·       Tinted sunscreens

·       Sports sunscreens

Finally

Investing in your wellness and health is one of the best ways to kickstart the New Year. The products discussed in this article can improve your wellness routine. Take advantage of your FSA benefits to embrace a healthier, happier you in the months ahead, and use this guide to understand the FSA-eligible items available.