Many fitness enthusiasts wonder whether they can use Health Savings Account (HSA) funds to purchase exercise equipment like treadmills. While HSAs offer tax advantages for medical expenses, the rules aren’t always straightforward. Let’s break down IRS guidelines and real-world scenarios to clarify when a treadmill might qualify as HSA-eligible.
When Can You Use HSA Funds for a Treadmill?
Under normal circumstances, the IRS does not consider general fitness equipment like walking pads or standard treadmills eligible for HSA reimbursement. However, there are specific exceptions:
Medical Necessity Requirements
- A licensed physician must prescribe the treadmill to treat a diagnosed condition (e.g., obesity, hypertension, or post-surgery rehabilitation)
- You’ll need a Letter of Medical Necessity (LMN) specifying the equipment’s therapeutic purpose
- The treadmill must be used primarily for treating the condition, not for general fitness
How to Buy a Treadmill With HSA Funds Legally
If you qualify under the medical necessity rules, follow these steps:
- Obtain a detailed prescription from your doctor linking the treadmill to your treatment plan
- Request an itemized receipt showing the treadmill as a medical expense
- Submit documentation to your HSA administrator (IRS Publication 969 guidelines)
- Keep records for at least 3 years in case of an audit
Approved Conditions for HSA Treadmill Purchases
Common diagnoses that may qualify include:
- Type 2 diabetes management (CDC exercise guidelines)
- Cardiac rehabilitation programs
- Arthritis-related mobility issues
Alternative Options for Fitness Equipment
If your treadmill doesn’t meet HSA requirements, consider these alternatives:
- Use FSA funds for eligible physical therapy devices (FSA guidelines)
- Claim treadmill expenses as medical deductions if they exceed 7.5% of your AGI
- Invest in HSA-eligible rehabilitation equipment like resistance bands or balance boards
Key Documentation Tips
Always maintain:
- A dated physician’s letter on official letterhead
- An itemized receipt showing a “medical treadmill” designation
- Proof of insurance claim denial (if applicable)
What the IRS Says About HSAs and Fitness
While standard gym memberships and fitness trackers remain ineligible, the IRS does allow HSA funds for weight-loss programs prescribed to treat specific diseases. This creates a potential pathway for treadmill reimbursement when combined with medical supervision.
Recent Updates to Know
- The 2022 CARES Act expanded HSA eligibility for menstrual products, but not for fitness gear
- Some telehealth services now qualify, creating potential remote monitoring opportunities