Expenses can really add up each summer as Americans take to their backyards or load their cars up with kids, gear, and dogs to take the annual family vacation. While your HSA might be farthest from your mind as you sit by the pool, it can lower your out-of-pocket costs.

An HSA is Tax-Free Income

Why will an HSA help you save money on expenses this summer? HSAs allow for tax-free contributions, growth, and distributions (when used for qualified medical expenses). Therefore you can use an HSA to pay for qualified expenses, tax-free!

HSA-Eligible Summer Expenses

Now that you know how you can use an HSA to save money, here are some eligible expenses that are going to make your summer plans or activities more cost-effective. The full list of HSA-eligible expenses is quite robust, so we narrowed it down to save you some time (and make it summer specific).

• Sunscreen – for kids, babies or yourself. As long as they are sunscreen (SPF 15+, broad spectrum), not suntan lotions.

• Prescription Sunglasses – keep your eyeballs from damaging UV rays with the style you want.

• Allergy Testing – more time outside, means more exposure to pollen and all things allergy related. Use your HSA funds to pay for any required allergy testing you or your family needs.

Just in case you are traveling, you can use your HSA for medical care and coverage when you are outside of the US. What a wonderful safeguard!

Sadly summer camp and summer school are not an HSA-eligible expense, but swimming lessons, if required or prescribed by a doctor would be!

HSAs open up a world of completely tax-free spending. It’s an incredible way to save money. It’s even easier when you have an HSA debit card. Use your HSA to reduce short-term out-of-pocket costs by taking advantage of their tax benefits. This means more money to spend on your favorite summer activities or expenses. Enjoy.

If you need more help with health account decisions, check out our blog. We will make you a healthcare benefits expert in no time, without any extra work or effort on your end.