Is Shampoo FSA or HSA Eligible?
Shampoo isn't reimbursable from an FSA or HSA. Prescription shampoo and hair loss treatment may qualify with a letter from a clinician.
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Short answer
Shampoo isn't a qualified medical expense under IRS Publication 502, so it can't be reimbursed from an FSA, HSA or HRA. The IRS treats shampoo as a general personal care product rather than medical treatment.
However, if you have a diagnosed scalp or hair condition, the medical treatment for that condition, such as prescription shampoo or dermatological care, may be reimbursable. A clinician can evaluate whether your shampoo or hair treatment is prescribed to address a specific diagnosed condition.
The short answer on shampoo
Shampoo isn't reimbursable. The IRS classifies shampoo as a personal care product, just like many other toiletries. Just as "the cost of a toothbrush and toothpaste is a nondeductible personal expense" under Publication 502, the same rule applies to general toiletries including shampoo. This applies to all account types: FSA, HSA and HRA.
Shampoo and other hair care products
Here's what's reimbursable when it comes to hair care and scalp products under FSA, HSA and HRA rules.
Item | FSA, HSA or HRA? | Notes |
|---|---|---|
Regular shampoo and conditioner | Not reimbursable | Personal care item under IRS Publication 502 |
Dry shampoo or aerosol products | Not reimbursable | Personal care product, not medical treatment |
Prescription shampoo or medicated scalp treatment | With a letter | Reimbursable if prescribed to treat a diagnosed scalp condition |
Hair loss treatment (Minoxidil, Finasteride) | With a letter | Reimbursable if prescribed by a clinician for diagnosed hair loss |
Dermatology visit or scalp exam | Reimbursable outright | Medical care under Publication 502 |
Hair transplant or restoration | Not reimbursable | Publication 502 lists hair transplants as cosmetic surgery, which isn't a medical expense. |
When shampoo might be reimbursable: diagnosed scalp conditions
Over-the-counter shampoo purchased at a drugstore or online isn't reimbursable, no matter the brand or type. However, if a dermatologist or clinician prescribes a medicated shampoo to treat a diagnosed condition such as seborrheic dermatitis, psoriasis, or another scalp condition, that prescription shampoo becomes a qualified medical expense. The key is that a clinician must name the condition and provide documentation explaining in writing how the shampoo treats it.
How to get reimbursed for prescription shampoo or hair loss treatment
If your clinician prescribes a medicated shampoo or hair loss treatment, request your letter before you buy. The letter must be dated on or before your purchase so your administrator approves the claim. Once you have the letter, buy your treatment with any card at any store. Burst files the reimbursement claim with your FSA, HSA or HRA administrator, and the administrator pays you out of your account by deposit or check.
Hair care that isn't reimbursable
General shampoo and hair care for maintenance or appearance isn't reimbursable under any circumstance. This includes premium shampoos, salon treatments, and hair styling products, even if they promise benefits like strength, shine or growth. The IRS classifies these as personal care expenses, not medical treatment.
Hair services that never qualify
Professional salons and styling services
Hair coloring or bleaching
Hair extensions or wigs for appearance
Shampoos marketed for shine, growth or volume
Getting it reimbursed with Burst
If what you're buying needs a letter of medical necessity, Burst writes it and files the claim. $35 once, about two minutes to request, reviewed by a licensed clinician, typically in your inbox within 24 hours. Burst files the reimbursement claim with your FSA, HSA or HRA administrator, and the administrator pays you out of your account by deposit or check. No letter, no charge. Claim denied, money back. The letter has to be dated on or before the purchase it covers, so request it before you buy.
Frequently asked questions
Can I use my FSA for shampoo?
No. Shampoo is classified as a personal care product by the IRS, not a medical expense. This applies to all types of shampoo and all account types (FSA, HSA and HRA).
What if I have a scalp condition like dandruff or psoriasis?
If a clinician prescribes a medicated shampoo or treatment for a diagnosed scalp condition, you may be able to get reimbursed with a letter of medical necessity.
Is hair loss treatment covered?
Hair loss treatments like Minoxidil or Finasteride may be reimbursable with a letter if prescribed by a clinician to treat diagnosed hair loss as a medical condition.
What about expensive salon shampoos or professional products?
No. Even expensive, premium shampoos are personal care items and aren't reimbursable. The price or brand doesn't change the IRS classification.
Can a dermatologist's recommendation make shampoo reimbursable?
A dermatologist's verbal recommendation isn't enough. The shampoo must be prescribed in writing as treatment for a specific diagnosed condition. Over-the-counter shampoos recommended for maintenance or appearance aren't reimbursable.
Keep reading: What skin care is FSA and HSA eligible, Complete list of FSA eligible expenses, and all guides on this topic.
Sources
IRS Publication 502 - Medical and Dental Expenses (personal care items as nondeductible expenses, general definition of medical expenses, cosmetic vs. medical procedures)
Healthcare.gov Glossary - FSA, HSA and HRA Information (account eligibility and qualified medical expenses)
IRS Publication 969 - Health Savings Accounts and Other Tax-Favored Health Plans (HSA eligibility and qualified medical expenses)
