Yes, drug addiction treatment and counseling are eligible for reimbursement with a Flexible Spending Account (FSA) or Health Savings Account (HSA).
Why Is Drug Addiction Treatment FSA/HSA Eligible?
Drug addiction—also known as substance use disorder—is a medically recognized condition that requires professional treatment. According to IRS Publication 502, medical expenses for the treatment of drug addiction qualify for reimbursement under IRS Code Section 213(d), including inpatient and outpatient programs, therapy, and counseling.
Eligible care may include detoxification, rehabilitation, psychiatric care, or therapy provided by licensed professionals.
FSA- and HSA-eligible drug addiction expenses may include:
Inpatient or outpatient rehabilitation programs
Substance abuse counseling and behavioral therapy
Psychiatric care related to addiction treatment
Prescribed medications for withdrawal or maintenance (e.g., Suboxone®, methadone)
Follow-up mental health care or support services
Transportation to and from medical treatment when necessary
Medical testing and diagnostics related to substance use
Meals and lodging provided as part of inpatient care
These services are eligible whether treatment is voluntary or court-ordered, as long as it is medically necessary and provided by or at the direction of a licensed healthcare provider.
What’s Not Covered?
The following are not eligible:
Programs not focused on medical treatment (e.g., general wellness or life coaching)
Services from unlicensed or non-clinical providers
Spiritual or non-medical recovery retreats
Amenities or recreational activities included in residential programs (e.g., spa services)
Counseling for family members unless part of the individual’s treatment plan
To qualify, the treatment must be focused on addressing a substance use disorder, not general personal development.
How to Use Your FSA or HSA for Drug Addiction Treatment
You can use your FSA or HSA card to pay for eligible treatment directly, or request reimbursement for qualifying out-of-pocket costs. To ensure smooth processing:
Request itemized invoices from the facility or provider showing the nature of the treatment
Save proof of diagnosis or referral if requested by your plan administrator
Ensure the services are provided by licensed medical professionals or accredited facilities
For more information on qualifying expenses, refer to IRS Publication 502.
