WASHINGTON — The Council for Responsible Nutrition (CRN) has released new data showing that broadening the use of Health Savings Accounts (HSAs) and Flexible Spending Accounts (FSAs) to cover dietary supplements would deliver significant consumer health benefits at far less cost to the federal government than previously estimated.
The analysis, conducted by John Dunham & Associates, projects a 10-year net fiscal impact of $12.2 billion, nearly 75% lower than earlier forecasts. The bulk of the impact, $9.8 billion, reflects reduced income tax collections rather than new federal spending.
Similarly, the report highlights that adoption would be modest: only 27% of HSA holders and 36% of FSA holders currently use these accounts for over-the-counter products. This pattern indicates meaningful but limited uptake if supplements are included, without the rush to spend down balances assumed in earlier analyses.
“This analysis confirms what we’ve long believed,” said Steve Mister, president and CEO of CRN. “Expanding access to supplements through HSAs and FSAs is commonsense policy—affordable, practical, and good for public health.”
CRN argues that making supplements eligible expenses would allow consumers to close nutrient gaps, support wellness and prevention, and take proactive steps to manage health costs. Millions of Americans already rely on dietary supplements to maintain their wellness and reduce the risks associated with chronic conditions.
The new findings also counter prior congressional estimates that attached a much higher price tag to the policy. “Our data show clearly: original projections were off—the real numbers prove this policy is both affordable and beneficial,” Mister added.
The full report, Cost Analysis of Potential Changes to Tax-Preferred Health Accounts to Permit Expenditures for Dietary Supplements, is available here for download.
