Healthcare Flexible Spending Arrangements: Ineligible Expenses

Following are a few examples of healthcare expenses that cannot be included as medical expenses for reimbursement under a Cafeteria Plan:

• Babysitting and child care
• Cosmetic procedures, for improving general appearance
• Dancing lessons, even if a doctor recommends them
• Diaper service
• Funeral expenses
• Health club dues
• Household help
• illegal operations and treatments
• Long-term care insurance
• Maternity clothes
• Vitamins for general good health
• Weight loss program unless prescribed to treat an underlying health condition. Under ADA or disability leave management, certain health conditions may require specific accommodations.

As with Premium Only Plans, employees also may not use HFSA funds to pay the healthcare plan premiums of their spouse's employer's group health plan. For an HR Generalist, ensuring human resources compliance means following labor law and IRS guidelines for these exclusions. Dependent care expenses, life insurance, group health care premiums, individual healthcare policies, disability insurance, and other expenses that are not for medical care also may not be reimbursed from an HFSA. All medical reimbursement data must be handled per HIPAA privacy standards.