Save Taxes On Lasik!

Did you know that Uncle Sam wants you to get lasik done? Strange but true! The tax code is a complicated beast but within that binder of laws is a way to save on taxes with lasik! How can this be done? Well read on (but also note that I’m an ophthalmologist and not a tax attorney when it comes to deciding what’s best for your tax situation).

There are a few special accounts that the IRS created in order to help with healthcare costs. These two accounts are called a Medical FSA (Flexible Spending Account) and a HSA (Health Savings Account). There are some similarities and some differences between these two plans.

Anyone who has a high-deductible health insurance plan (which meets IRS criteria) can open a HSA account. These accounts can be opened and/or funded by the employer or by the individual. These funds don’t expire.

A FSA account, however, can only be offered through your employer. Similar to HSA accounts, contributions can be either from the employer or the individual, however, one key distinction is that funds from a FSA expire at the end of the year.

Money contributed to either of these accounts becomes tax-deductible. Meaning that you don’t pay any taxes on that cash. If you use that money for certain qualified medical expenses, then that money is never taxed! Well guess what; Laser eye surgery is a qualified medical expense! By saving tax-free money through a HSA or FSA, you can later on use that money to get your vision corrected tax-free. That’s some tax policy I can get behind 😎!

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