Do FSA Funds Cover SmileDirectClub Clear Aligners?

If you have a Flexible Spending Account (FSA), you can save pre-tax income, then apply it towards qualifying medical treatments and purchases. These accounts are a great way to lower your tax burden while getting the care you need. Just one problem: if you don’t use your funds by the end of the day on December 31st, you lose them for good.

One option for spending that money? SmileDirectClub. While not all account administrators approve it, many do. Don’t know how to get started? Or how FSAs work? Or what an FSA is? Below you’ll find all that and more.

What Is a Flexible Spending Account (FSA)?

When you sign on with an employer, you often get a benefits package, including things like insurance coverage, a 401k, and paid time off. Sometimes, an FSA is part of the package.

These employer-sponsored accounts let you save pre-tax income that you can apply to qualifying medical expenses. You benefit in that your tax bill is lower come April and you have money set aside to use on things like prescriptions, copays, and dental treatments that your insurance might not cover — at least not in full.

To use your funds, you just make sure that the purchase qualifies, then either use your debit card linked to the account or pay upfront and file for reimbursement. As of January 1st, 2023, the limit on FSA deposits is $3,050 per year, and the money in the account expires at the end of December. As such, this is the most that you are likely to have in your account at any given time, though there are limited circumstances where a small amount of money will roll over from one year to the next.

For the right person, an FSA is a great thing to have. If you have routine medical expenses — prescriptions you take regularly, frequent office visits, physical therapy — you can easily make use of the funds in your account. For those who don’t, it can be a struggle to use their money before they lose it. Be sure to adjust your contribution to match your anticipated need.

How to Get an FSA

FSAs may be a type of savings account, but they don’t work like your typical bank account. Rather than heading down to the local branch or your bank or using your app to open an account, you get your FSA through your employer. If your job offers FSAs, they’ll be part of your benefits package.

If you don’t have one, you can still ask your HR department about getting an FSA. It’s possible they started offering them after you were hired or that they are an option but not part of the standard hiring package. If you’re self-employed, however, FSAs simply aren’t an option at this time, but with the growth of the gig economy, it’s possible that this could change, or that an alternative account type might become available.

Can I Use My FSA for SmileDirectClub Clear Aligners?

Many times, yes. But it depends on how your specific FSA classifies at-home aligner treatment. Cosmetic treatments like teeth whitening don’t normally fall under the qualifying treatments, and some FSAs will lump SmileDirectClub in with these nonessential procedures. In most cases, though, they include it with other orthodontic treatments instead.

SmileDirectClub’s FAQ page says they accept FSA payments, so chances are good you will be able to use your funds for treatment. But just to be sure, you’ll want to check your list of qualifying treatments or speak with your FSA administrator to see if at-home aligners are included.

Do FSA Funds Cover Other Dental/Orthodontic Treatments?

This seems like a straightforward question that should have a straightforward answer. Unfortunately, FSA coverage for dentistry and orthodontics is complicated.

Dental procedures can be classified as preventative, basic, major, and cosmetic. Treatments that fall into the first three categories are almost always qualified expenses, meaning you can use FSA funds for them. Cosmetic treatments almost never qualify, so you likely won’t be able to use your FSA for them.

Is it time for your twice-yearly dental checkup and cleaning? Use your FSA funds to pay. The same goes for when you need bridgework, root canals, or fillings. Most dentists and providers consider braces and clear aligners medically necessary, since they correct issues that can lead to tooth decay, gum disease, and other issues. Of course, not every FSA covers every orthodontic treatment, but in most cases, you should be able to apply your funds.

What Types of Orthodontic Treatment Can an FSA Cover?

The only way to get a definitive answer about what treatments your FSA will pay toward is to speak with your account administrator. With that said, most administrators allow funds to be applied to in-office treatments across the board. So if you are interested in braces or aligners like Invisalign, SureSmile, and 3M Clarity, there is a high probability your FSA funds will help.

But what about remote options, like SmileDirectClub? As it ends up, many FSA administrators consider these to be qualifying expenses. This is good news since nearly all remote systems have price tags lower than the maximum yearly contribution, meaning you should have the funds you need to cover your purchase or at least be able to add them.

Just keep in mind that administrators are less likely to consider them a qualifying expense than they are in-office treatments since they only correct mild-to-moderate misalignments. Before you use FSA funds for SmileDirectClub and other at-home aligners, speak with your HR department.

Will SmileDirectClub Help Me Use My FSA?

Some FSA administrators require receipts or other proof of purchase when you use funds for a medical or dental expense. SmileDirectClub will provide an itemized receipt to share with your FSA when you order their aligners. However, any other paperwork is up to you — they won’t help you fill it out or communicate directly with your FSA administrator or insurance provider.

If you would prefer an online aligner service who handles every part of your FSA and dental insurance processes, take a look at Byte. They’re the only home aligner company that will facilitate your payment, reimbursement, and/or paperwork for you.

How To Use FSA Funds for SmileDirectClub Treatment

You might have a card connected to your FSA, which makes payment pretty simple. You can simply input the card’s information at checkout like you would for any other credit or debit card. As long as your FSA considers at-home aligners an eligible expense, they should automatically approve your purchase, although you might still need to submit a receipt or other confirmation.

Otherwise, you’ll need to pay for your treatment, then get a reimbursement from your FSA. This requires an itemized receipt, which SmileDirectClub will provide, and potentially an additional claim form. Contact your FSA administrator or your employer’s HR office to get the documents you need. However, the itemized receipt is as far as SmileDirectClub will go. The rest is up to you.

What If I Have Dental Insurance, Too?

Dental insurance benefits can vary significantly depending on your plan. But if yours includes orthodontic benefits, your dental insurance might cover SmileDirectClub treatment. Dental insurance plans can sometimes cover up to 50% of at-home aligners, although they might also have an age limit, lifetime spending limit, or waiting period, so familiarize yourself with the details.

SmileDirectClub has partnerships to be in-network with UnitedHealthcare, Aetna, Anthem, MetLife, Empire, Capital, Dominion National, and more, so if you have one of these providers, you may receive coverage. SmileDirectClub will check for you to see if your plan covers their treatment, but you’ll have to file your official claim on your own.

Regardless of your plan, you’ll have some out-of-pocket costs. You can cover those leftover expenses, though, by using your FSA. If you use insurance and an FSA, you might be able to cover your entire treatment cost. If it’s early in the year and you’re anticipating other medical or dental expenses later on, you might want to conserve your FSA funds. At the end of the year, though, make sure to use them before they expire.

Flexible Spending Accounts vs. Health Savings Accounts

FSAs and HSAs are similar accounts — both let you save pre-tax income to be applied toward qualifying medical expenses. Still, there is a lot that separates them. Below are the key details you should know.

Like FSA funds, HSA funds typically can apply to SmileDirectClub treatment, but this is up to the discretion of your account administrator. Take time to verify the terms of your account before using funds for treatment. And remember that you can use insurance, FSA, and HSA funds to pay for treatment as long as you don’t double-bill between them.

Final Thoughts

Your FSA could help you lessen the financial weight of orthodontic treatment, especially if it’s used alongside dental insurance coverage. Check with your employer and/or FSA administrator to see if SmileDirectClub at-home aligners are included in their qualifying treatments. If so, you could be looking at a much lower bill.