You may use your FSA or HSA for 23andMe health offerings. Learn more today and get started.
Here’s some good news if you’re among the millions of people in the United States with a healthcare Flexible Spending Account (FSA) or Health Saving Account (HSA): 23andMe health offerings may be fully or partially eligible for use of FSA or HSA dollars.
23andMe’s health offerings include health reports, features, and services that are part of 23andMe Health + Ancestry Service, 23andMe+ Premium™ and 23andMe+ Total Health.™ In addition, clinical lab tests and clinician fees coordinated through 23andMe are part of 23andMe’s health offerings. (See below for more detail on each of these services.)
IRS Changes to FSA and HSA in 2023
Before diving into all that is eligible under 23andMe’s umbrella of offerings, knowing more about these flexible pre-tax spending accounts and what’s new is essential.
The IRS has significantly increased the amount of pre-tax income people can set aside in the two most common types of these accounts — Flexible Spending Accounts (FSA) and Health Saving Accounts (HSA). Like retirement savings accounts that allow people to save money with pre-tax income, these accounts are also pre-tax but earmarked for medical expenses. You can find out more about the two types of accounts here.*
The IRS recently increased the amount people can set aside for both of these types of accounts; for instance, individuals can set aside up to $3,850 in pre-tax income for the HSA account, while families can set aside $7,750.*
You can use this money for all sorts of “qualified medical expenses,” from co-pays for doctor’s visits to prescription medications to glasses and sunscreen.
Are 23andMe’s health offerings a qualified medical expense? Yes, they are. Not too long ago, the IRS ruled that you can use FSA or HSA money for 23andMe’s health offerings.
23andMe Services That Are FSA/HSA Eligible
The Internal Revenue Service also ruled in 2019 that the health portion of the cost of the 23andMe Health + Ancestry Service may be eligible. Customers can use our FSA/HSA calculator to determine how much is eligible.
In 2021, 23andMe introduced the 23andMe Health Service which is FSA & HSA eligible and includes health predisposition reports**, carrier status reports**, and wellness reports. The 23andMe Health Service is only available on the FSA/HSA store and on Amazon’s FSA/HSA store.
Now much more of 23andMe’s health offerings are eligible. For instance, the annual membership fees for 23andMe+ Premium and 23andMe+ Total Health may be eligible for reimbursement based upon the IRS’s reasoning in their 2019 ruling.
Customers can use money from these accounts to cover such things as clinical lab tests and clinician fees coordinated through 23andMe and may also be able to apply funds from their FSA or HSA accounts to upgrade to 23andMe’s Health + Ancestry Service, 23andMe+ Premium, or 23andMe+ Total Health, which are considered eligible expenses. In addition, the IRS allows customers to use FSA/HSA funds for a portion (up to $189†) of the cost of the 23andMe Health + Ancestry Service.
If you are trying to determine what portion of your purchase, membership, or upgrade may be eligible, the simplest way to figure out the likely eligible amounts would be to use our FSA/HSA calculator. We also have more details on our FSA/HSA page. Additionally, you should always check with your specific FSA/HSA benefits coordinator and/or your tax professional for confirmation on the specific requirements for reimbursement, including eligibility, usage, procedures, and qualifications. To purchase the 23andMe Health Service visit the FSAStore, or go to Amazon here.
Still have questions? Here are answers to some of the most frequently asked questions about FSA & HSA eligibility and 23andMe.
Learn about all 23andMe has to offer here.
This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal or accounting advice. 23andMe does not provide tax, legal, or accounting advice. You should consult your specific FSA/HSA benefits coordinator and/or your tax professional for further information regarding the application of the tax laws and confirmation on the specific requirements for reimbursement, including eligibility, usage, procedures, and qualifications.
*Check with your specific FSA/HSA benefits coordinator and/or your tax professional for confirmation on the specific requirements for reimbursement, including eligibility, usage, procedures, and qualifications.
**The 23andMe PGS test includes health predisposition and carrier status reports. 23andMe health predisposition reports include both reports that meet FDA requirements for genetic health risks and reports which are based on 23andMe research and have not been reviewed by the FDA. The test uses qualitative genotyping to detect select clinically relevant variants in the genomic DNA of adults from saliva for the purpose of reporting and interpreting genetic health risks. It is not intended to diagnose any disease. Your ethnicity may affect the relevance of each report and how your genetic health risk results are interpreted. Each genetic health risk report describes if a person has variants associated with a higher risk of developing a disease, but does not describe a person’s overall risk of developing the disease. The test is not intended to tell you anything about your current state of health, or to be used to make medical decisions, including whether or not you should take a medication, how much of a medication you should take, or determine any treatment. Our carrier status reports can be used to determine carrier status, but cannot determine if you have two copies of any genetic variant. These carrier reports are not intended to tell you anything about your risk for developing a disease in the future, the health of your fetus, or your newborn child’s risk of developing a particular disease later in life. For certain conditions, we provide a single report that includes information on both carrier status and genetic health risk. For important information and limitations regarding each genetic health risk and carrier status report, visit 23andme.com/test-info/.
†Based on the purchase price of $229. Check with your FSA/HSA administrator and/or your tax professional for specific requirements for individual eligibility and reimbursement.