Can you use your HSA or FSA for mental health apps?

Eligibility for a Health Savings Account (HSA) or Flexible Spending Account (FSA) depends on more than just an app’s features. IRS guidelines state that a diagnosed condition and a medical provider’s recommendation are required to cover medical expenses. That means medical necessity comes into play, and you’ll likely need a Letter of Medical Necessity (LMN) to qualify for eligibility. Most mental health services on apps and platforms do require this document to cover medical expenses and treatment. Fortunately, Headspace makes getting an LMN for your subscription quick and effortless.

An LMN explains:

• The diagnosed medical condition being treated (like anxiety, depression, or insomnia)
• Why the app is recommended for your counseling and treatment plan
• How the app can support your health
• How long you’ll need to use the app (LMNs are usually valid for one year)

Did you know that you can get an LMN from Headspace right at checkout? You don’t need to see your healthcare provider or wait around for reimbursement from your HSA/FSA administrator. Your HSA/FSA is a powerful tool. Use it to build a foundation of mental wellness that supports you every day. Follow these steps to complete your purchase and begin your mental health journey.

• Select your payment method. At checkout, choose “Pay with your HSA/FSA”
• Complete the health survey. You will be prompted to fill out a brief health survey. This is used to determine your eligibility and to generate your LMN.
• Pay directly with your card. After completing the survey, you can pay for your subscription directly using your HSA or FSA card.
• Start your free trial. You will get immediate access to the Headspace app to begin your free trial.
• Receive your LMN. Within 1-3 hours of submitting your payment, you will receive your official LMN via email. Your LMN confirms your eligibility to purchase a Headspace subscription with your HSA or FSA funds.

Yes, you can use your HSA or FSA card to directly pay your Headspace subscription and related medical expenses, skipping the hassle of submitting a reimbursement claim. You will gain access to a connected support system including Ebb, your empathetic AI companion, 3,000+ science-backed tools, and access to therapy, all in one place. Start building a healthier routine today with the funds you've already saved. It's the easiest way to make self-care a reality.

Headspace subscription includes:

• Ebb, your empathetic AI companion that connects you to 3,000+ science-backed tools to offer support in between therapy sessions
• Guided meditations
• Sleep resources
• Stress management tools
• Specialized playlists and music for focus

If you need more support, Therapy by Headspace is also covered by most major insurance plans, and sessions can be as low as $0 for some users.

With an LMN in hand, you might be eligible for HSA/FSA reimbursement for apps that provide:

• Meditation and mindfulness tools: Apps like Headspace can be prescribed for mental health treatment to help manage stress or anxiety through mindfulness and meditation.
• Therapy and counseling: Online therapy and messaging-based counseling can be recognized as eligible for HSA and FSA funds.
• Sleep and stress management: Doctor-led programs for diagnosable conditions, such as insomnia or stress management, may be permitted.

Almost all FSA funds have a use-it-or-lose-it rule. This means if you don’t use your funds by the end of each year, you lose them. If you have funds that are about to expire, don’t wait! You can still buy any eligible services or subscriptions before the deadline. And, you can always ask about a grace period. Some plans allow a limited carryover, but you should check your plan’s specific details.

It’s also worth noting that if your qualifying purchase is made before the deadline, you can submit for reimbursement after the funds have expired. This means you can get started with Headspace now and claim your benefits later, as long as you meet all the requirements.

Mental health apps are more than just a “nice to have.” They can be covered tools that offer you real support in your time of need. They can provide accessibility, affordability, and evidence-based support that fits into your life when, where, and how you need it. It’s an added benefit that you can use your HSA or FSA for mental health expenses.

If you’ve been thinking about exploring Headspace, now is the perfect time to do it, while your benefits still apply, and your pre-tax dollars can help you save up to 30%. With Headspace, you get access to Ebb, your empathetic AI companion, and 3,000+ science-backed tools like meditations, breathwork, SOS exercises, and sleepcasts, plus therapy when you need deeper support (with sessions as low as $0 with insurance). Give yourself the permission you’ve been seeking to practice self-care and get the support you need. Discover how our mental health app and tools can enhance your life and help you manage today and build resilience for tomorrow.

_Sources:

_{1. Ding, D., & Glied, S. (2024). Health Care–Related savings accounts, health care expenditures, and tax expenditures. JAMA Health Forum, 5(9), e242896. https://doi.org/10.1001/jamahealthforum.2024.2896. Accessed July 31, 2025.}