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Lifestyle Spending Account (LSA)

An employee perk that encourages physical, financial, and emotional wellness

Overview & Eligibility

Lifestyle Spending Accounts (LSA) are a means for employers to help their employees pay for health and wellness expenses, and sometimes other costs that aren’t typically covered under a group health plan. 

Employers who offer an LSA choose what expenses get reimbursed and how much each employee gets. Unlike other spending accounts such as flexible spending accounts, employers fund the LSA with money that is taxable to the employee after they spend it. 

Employers designate an annual reimbursement limit.

The Value for Employees and Employers


It’s a useful benefit that helps employees pay for expenses from gym memberships, nutritional supplements, and fitness equipment, to everyday needs such as utilities, groceries, daycare, and WiFi.


Depending on how the employer sets up the LSA, employees have multiple options on how they spend their funds, and can even split it up across different categories.

Easy to Manage
Easy to Manage

LSAs are easy to set up. Employers have endless options in what the LSA will reimburse and how much each employee gets per year. It gives employers an easier option to offer a benefit that's useful to all employees.

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