A Limited Purpose Flexible Spending Account (LPFSA) has the same tax advantages as a general purpose Flexible Spending Account (FSA), but it’s used specifically for dental and vision expenses only. This allows individuals who are actively contributing to a health savings account (HSA) to enroll in an LPFSA and contribute to both accounts during the same plan year. Just like an FSA, you can contribute the IRS maximum of up to $3,300 to an LPFSA, and the LPFSA is also pre-funded by your employer.
Eligible expenses for the LPFSA:
- Vision Co-Pays, deductible and coinsurance
- Dental Co-Pays, deductible and coinsurance
- Orthodontia
- Dental cleanings
- Dental fillings, crowns, and bridges
- Dental surgery
- Eye exams
- Glasses or contact lenses
- Laser eye surgery
Ineligible expenses for the LPFSA:
- Cosmetic surgery
- Teeth whitening
- Insurance premiums
- Hygiene/personal care items (soap/toothpaste)
