Health savings accounts (HSAs) are tax-advantaged savings accounts that allow you to set aside money for qualified medical expenses. HSAs can be used to pay for a variety of healthcare costs, including doctor visits, prescription drugs, and dental care. But can HSAs be used for pets?

Can HSA Be Used for Pets?

HSA Eligibility

To be eligible for an HSA, you must have a high-deductible health plan (HDHP). An HDHP is a health insurance plan with a higher deductible than a traditional health insurance plan. The minimum deductible for an HDHP in 2023 is $1,500 for an individual and $3,000 for a family.

HSA Contributions

If you are eligible for an HSA, you can contribute up to the annual limit each year. The annual contribution limit for HSAs in 2023 is $3,850 for an individual and $7,750 for a family. Employers may also contribute to your HSA, but the total amount of contributions from you and your employer cannot exceed the annual limit.

HSA Withdrawals

You can use your HSA to pay for qualified medical expenses at any time. Qualified medical expenses include expenses for yourself, your spouse, and your dependents. Dependents include your children, stepchildren, foster children, and other relatives who meet certain requirements.

Can HSAs Be Used for Pets?

The IRS does not consider veterinary expenses to be qualified medical expenses. Therefore, you cannot use your HSA to pay for veterinary expenses for your pets.

Other Options for Paying for Pet Care

If you want to set aside money for your pet's care, there are a few other options available to you.

You can open a pet savings account. Pet savings accounts are similar to regular savings accounts, but they are specifically designed for pet care expenses.

You can purchase pet insurance. Pet insurance can help you cover the cost of veterinary care for your pet.

You can set up a budget for pet care. When you set up a budget, you can allocate a certain amount of money each month for pet care expenses.