How We Determine Eligibility
SpendDown helps FSA and HSA holders discover eligible products and plan spending before their deadlines. We are not tax advisors, financial planners, or benefits administrators. We are a recommendation layer — every purchase happens on the merchant's site, not ours.
Our eligibility classifications are derived from authoritative, public sources and follow a conservative scoring methodology. When sources disagree, we assign the more restrictive tier. We would rather show fewer products with high confidence than risk a declined transaction.
Our Sources
SIGIS Eligible Product List Criteria
The Special Interest Group for IIAS Standards (SIGIS) publishes the classification framework used by payment processors to determine which products can be purchased with FSA/HSA debit cards. Their criteria document defines every eligible category, the boundary rules between eligible and dual-purpose items, and the "but for" test that governs edge cases. This is our primary classification ruleset.
IRS Publication 502
The IRS publishes Publication 502 ("Medical and Dental Expenses") annually. It defines which expenses qualify as deductible medical expenses — the same categories that determine FSA/HSA eligibility. We cross-reference every SIGIS category against IRS Publication 502 to verify that our classifications have federal regulatory backing.
Amazon FSA/HSA Storefront
Amazon maintains a dedicated FSA/HSA storefront with eligibility badges on individual products. Their badging program uses SIGIS data, providing an additional validation layer. When Amazon badges a product as FSA/HSA eligible, it strengthens our confidence in the classification.
FSA Store Catalog
FSA Store is the largest dedicated retailer of FSA-eligible products. Their catalog of pre-vetted items serves as a cross-reference for our classifications. Products appearing in both our SIGIS-derived catalog and FSA Store's inventory receive the highest confidence scores.
Our Eligibility Tiers
SIGIS classifies the category as eligible, and at least one additional source confirms. Buy with your FSA/HSA card — no additional documentation needed.
Dual-purpose item with both medical and general use. Requires a Letter of Medical Necessity (LMN) from a licensed healthcare provider.
Eligibility varies by plan. Check with your benefits administrator before purchasing.
The IRS does not classify this as a qualified medical expense. FSA/HSA funds cannot be used.
Conservative Scoring
When our sources disagree on a product's eligibility, we assign the more restrictive tier. A product only receives the "Always Eligible" badge when SIGIS criteria clearly place it in an eligible category and at least one additional source (Amazon badge or FSA Store listing) confirms.
Products at low confidence or with ambiguous classifications are flagged for human review rather than auto-approved. We would rather miss a product than misclassify one.