A new bill that could pass can change the way consumers pay for their gym memberships, fitness classes, and personal training sessions. Under the Personal Health Investment Today (PHIT) Act, gym-goers and clients would be able to use their Health Savings Account (HSA) or Flexible Spending Account (FSA) for health and fitness-related services. This means consumers would be able to pay for these services with pre-tax money. This push towards preventative healthcare is very intriguing and as a service provider is a good step forward in the way your clients can pay for your services.
The way it is set up now unless a consumer has a written order from their doctor for a health disease they are not allowed to use their FSA/HSA for these activities. Under the PHIT Act that would change, to an extent. The bill if passed would allow consumers to pay up to $1000 for individual taxpayers and $2,000 for families from their FSA/HSA for these health and fitness activities.
The good news if the PHIT Act is passed is that it will open up the doors to providing more cost-effective ways for consumers to take control of their health and put their hard-earned dollars into activities that will benefit them in the long term. As a service provider, this is great news, more consumers would be willing to pay for your services while also benefitting from their pre-tax dollars.
The PHIT Act is looking promising with 24 members of the House and Senate signing as cosponsors. This bill remains bipartisan as 13 Republicans and 11 Democrats as these cosponsors. We will continue to try and update this as we hear more news and progress.