Can I use my HSA to pay my membership fee? Does my membership fee apply toward my insurance deductible?

Unfortunately, the short answer is no.

 

The membership fee cannot be paid out of your HSA nor does it apply toward your deductible. This issue is currently being discussed in the U.S. House of Representatives. The IRS currently views the DPC monthly periodic fee as a “health plan” just like a standard monthly health insurance premium is viewed as a “health plan.” According to the IRS, the DPC monthly membership fee is thus a second “health plan” and the amount is not a qualified HSA expense.

 

What is HSA?

Health Savings Account (HSA) is a type of savings account that allows you to set aside money on a pre-tax basis to pay for qualified medical expenses. A Health Savings Account can be used only if you have a High Deductible Health Plan (HDHP).

High-deductible plans usually have lower monthly premiums than plans with lower deductibles. By using the untaxed funds in an HSA to pay for expenses before you reach your deductible and other out-of-pocket costs like copayments, you reduce your overall health care costs.”