Lifestyle Spending Account (LSA) for Partners

A Lifestyle Spending Account (LSA) is an employer-funded, post-tax spending account that promotes healthy habits and overall well-being. It gives employers the freedom to choose eligible expenses that meet your employee's lifestyle and interests in the areas of physical wellness, financial wellness and emotional wellness.Employer's determines which expenses are eligible and how the funds are handled.

Eligible expenses may include:

  • Physical wellness
    • Athletic + exercise equipment
    • Gym, health club, spa, and fitness studio memberships
    • Fitness classes + lessons, personal trainer, fitness trackers
    • Entry fees (i.e., marathon) + passes (i.e., ski, golf)
    • Nutritional supplements
  • Financial wellness
    • Home purchase expense reimbursement
    • Financial advisor + planning services
    • Financial seminars + classes Identity theft services
  • Emotional wellness/other
    • Non-medical counseling services
    • Retreats (i.e., leadership, spiritual) Camping supplies
    • Meditation + personal development classes (i.e., art, cooking)
    • Annual park pass, hunting, and fishing licenses

Benefits to employees

  • Gives freedom to choose and find expenses that meet their lifestyle and interests
  • Promotes a health lifestyle (emotionally, physically, and financially)
  • Ability to leverage the same debit card, mobile app, and online portal if offering a BenefitHelp Solutions LSA alongside other Benefithelp Solutions accounts such as a Flexible Spending
  • Account (FSA) or Commuter Expense Reimbursement Account (CERA)
Lifestyle Spending Account

Lifestyle Savings Account (LSA) FAQ

Yes. We can set up a general category of expenses using an MCC network. Or, we can set up a merchant ID network where we can limit expenses to one or more specific merchants. We can also set up custom networks to allow purchases on a debit card.

The most convenient and efficient way to be reimbursed is through the employee’s BenefitHelp Solutions debit card. You can also submit an online reimbursement request through your BenefitHelp Solutions member portal, mobile app or by mailing a reimbursement form. BenefitHelp Solutions will issue a reimbursement directly to you in the form of a check or direct deposit.
Since your employer funds an LSA with post-tax dollars, the money you spend is considered taxable income to you.
Substantiation requirements are determined by your employer. For example, your employer could limit eligible expenses and let you customize, and then require substantiation to ensure that your purchases meet the list defined by your employer.

Your employer has a number of things to decide when customizing an LSA, such as:

  • How much they will contribute
  • When contributions are available for you to use
  • Which employees they contribute to
  • What expenses are eligible
  • How funds are handled at the end of each plan year (run out, rollover, etc.)
  • How funds are handled for terminated employees (run-out period)

Any employee can use these accounts, regardless of their full-time or part-time status. You do not have to be part of your employer’s health group plan. You employer can also offer these accounts in a tiered approach based on employee status. For example, your employer can offer a higher dollar amount to hourly workers who have experienced a drop in hours (compared to full-time employees).
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