HSA to pay for hotel question

[Fermion]

Quick question here. My wife had to have surgery and was in the hospital for 7 nights. We stayed in a hotel right next to the hospital
but even with their medical rate it was around $107 a night after tax.

Am I correct that I can withdraw $100 per night of this from our HSA? It says $50 somewhere, but I think that is per person?

One would think you could deduct the actual cost of the hotel stay during hospital events but I guess they don't want abuse.

 

[cathy63]

Generally anything you could deduct as a medical expense on Sched A is allowed as an HSA qualified medical expense (plus a few more things). The lodging deduction is spelled out in IRS Pub 502:

You may be able to include in medical expenses the cost of lodging not provided in a hospital or similar institution. You can include the cost of such lodging while away from home if all of the following requirements are met.

1. The lodging is primarily for and essential to medical care.
2. The medical care is provided by a doctor in a licensed hospital or in a medical care facility related to, or the equivalent of, a licensed hospital.
3. The lodging isn't lavish or extravagant under the circumstances.
4. There is no significant element of personal pleasure, recreation, or vacation in the travel away from home.

The amount you include in medical expenses for lodging can't be more than $50 for each night for each person. You can include lodging for a person traveling with the person receiving the medical care. For example, if a parent is traveling with a sick child, up to $100 per night can be included as a medical expense for lodging. Meals aren't included.

Don't include the cost of lodging while away from home for medical treatment if that treatment isn't received from a doctor in a licensed hospital or in a medical care facility related to, or the equivalent of, a licensed hospital or if that lodging isn't primarily for or essential to the medical care received.

 

[PaunchyPirate]

It sounds like you could only reimburse $100 for the nights both you and your wife were in the hotel and only $50 for the nights she was in the hospital while you stayed in the hotel.

 

[zinger1457]

Seems like a ridiculously low limit for the cost of hotels today. That being said there's probably close to a 0% chance the IRS would question the $100 reimbursement amount even if only one person. I've been using my HSA for 15 years to pay for dental and other medical expenses and have never been questioned or asked to show proof about anything.