US SB1565

Expands Health Savings Account (HSA) eligibility to cover qualified medical expenses for parents of the account holder or their spouse, effective for amounts paid after December 31, 2025

Allows Health Flexible Spending Arrangements (FSAs) and Health Reimbursement Arrangements (HRAs) to be used for medical care expenses of a taxpayer's parent or spouse's parent without triggering tax consequences, effective for expenses incurred after December 31, 2025

Extends the same parental coverage provisions to Archer Medical Savings Accounts (MSAs), effective for amounts paid after December 31, 2025

Introduced May 1, 2025 by Senator Rosen (D-NV) with Senator Cassidy (R-LA) as cosponsor and referred to the Senate Committee on Finance