Most employees know about the tax perks of enrolling in a Flexible Spending Account (FSA) or Health Savings Account (HSA) — but many don’t realize that they can take these benefits even further. At The Krazy Coupon Lady (KCL), we discovered that one overlooked document, the Letter of Medical Necessity (LMN), can be the key to unlocking significantly more reimbursement opportunities. By educating our team and streamlining the LMN process, we boosted FSA participation by 36%.
A Letter of Medical Necessity is a note from your primary healthcare provider that states a product or service is medically required for a specific health condition. With an LMN, employees can use FSA or HSA funds for a broader range of health-related expenses — think gym memberships, supplements, red light therapy devices and even high-end wellness tools like sleep trackers or saunas.
