Documentation of Expenses

The IRS has strict requirements for expenses reimbursed by a tax-preferred medical savings plan, including the HCSP. Your request must be substantiated with an acceptable form of documentation.

Requests submitted without appropriate documentation cannot be reimbursed. Your request will be returned to you if it is declined by MSRS for incorrect or ineligible proof of expenses.
 

Acceptable forms of documentation - insurance premiums

  • Health, dental, or long-term care insurance premiums. Documentation must include insurer's contact information, name of person covered, coverage dates, and monthly premium amount, itemized by type of insurance coverage.

  • Medicare B (standard amount). Provide a copy of your Medicare card or letter from Social Security indicating the premium amount. Higher-income beneficiaries whose premium is more than the standard amount must provide a copy of the Social Security letter indicating the premium amount.

  • Medicare Part D or supplemental insurance: Provide documentation indicating premium amount.


Acceptable forms of documentation - other healthcare-related expenses

  • Documentation must include provider's name and contact information, date of service, amount charged for service, the insurance reimbursement amount, person for whom service was provided, and treatment/services provided. Examples of acceptable documentation include itemized statement from a provider or an insurance company's Explanation of Benefits (EOB).

  • Over-the-counter drugs: OTC drugs/medications can only be reimbursed if you have a prescription from a qualified medical practitioner. The prescription must be dated prior to purchase and must be updated annually for ongoing OTC drug therapy. We require both the prescription and documentation of the purchase.


Unacceptable forms of documentation

  • Canceled checks and bank or credit card statements are not accepted as sole documentation of a claim because they do not include the detail required to authenticate a claim.

  • Handwritten receipts (typically purchased at office supply stores) are unacceptable unless the provider/insurer/employer's name and contact information is indicated, as well as all details described under "acceptable forms of documentation."

  • A balance forward statement, balance due statement, or an estimate of services not yet rendered are never acceptable forms of documentation.