💡 Quick Answer: Headspace is HSA/FSA eligible because it helps prevent, manage, and treat a variety of mental health conditions including anxiety, depression, sleep disorders, ADHD, PTSD, and stress-related conditions. According to IRS Publication 502, all you need is a Letter of Medical Necessity.
Luckily, we make it ridiculously simple. Crates Health is the fastest way to get your personalized and compliant letter for Headspace and thousands of other wellness products, plus we handle your reimbursements directly through our platform with just one click.
What is Headspace
Headspace is the meditation and mental wellness app that made mindfulness mainstream and accessible to millions who thought meditation “wasn’t for them.” Founded in 2010 by Andy Puddicombe, a former Buddhist monk who spent a decade training in monasteries across Asia, and Rich Pierson, a marketing executive who was burning out from stress, Headspace was born from a simple idea: meditation shouldn’t require incense, chanting, or sitting cross-legged for hours. It should be practical, approachable, and backed by science.
With over 70 million downloads across 190 countries, Headspace has evolved from a simple meditation app into a comprehensive mental health platform. The app offers guided meditations, sleep support, focus tools, movement exercises, and even content for kids, all delivered in Andy’s calming British voice and the app’s signature friendly animations that make complex concepts feel approachable.
The Science of Meditation:
Meditation isn’t just relaxation. It’s a form of mental training that physically changes the brain in measurable ways.
Research published in Psychiatry Research: Neuroimaging found that just 8 weeks of mindfulness meditation increased gray matter density in brain regions associated with learning, memory, emotion regulation, and perspective-taking, while decreasing gray matter in the amygdala (the brain’s stress center).
A landmark meta-analysis in JAMA Internal Medicine reviewed 47 trials with over 3,500 participants and concluded that mindfulness meditation programs show moderate evidence for improving anxiety, depression, and pain. The effect sizes were comparable to what would be expected from antidepressant medications, but without the side effects.
The American Psychological Association recognizes mindfulness-based interventions as evidence-based treatments for multiple conditions, and the National Institutes of Health has funded extensive research into meditation’s effects on stress, inflammation, and chronic disease.
Headspace-Specific Research:
What sets Headspace apart from generic meditation guidance is its commitment to clinical validation. The company has invested heavily in research, with over 70 published studies specifically on the Headspace app:
- A study in PLOS ONE found that just 10 days of Headspace use reduced stress by 14%
- Research published in Brain Behavior and Immunity showed Headspace improved immune function markers
- A randomized controlled trial found 30 days of Headspace use reduced aggression by 57% and increased compassionate behavior
- Studies show Headspace reduces mind-wandering by 22% and increases focus by 14%
Core Features:
- Meditation Library – Hundreds of guided meditations organized by goal (stress, sleep, focus, anxiety) and length (1-20 minutes). Courses progress from beginner basics through advanced techniques, building skills systematically rather than offering random sessions.
- Sleepcasts – Audio experiences designed specifically for falling asleep, featuring soothing narration of calming journeys (think “Night Train” or “Rainday Antiques”). Research shows Headspace Sleepcasts help users fall asleep 14 minutes faster on average.
- Sleep Music and Soundscapes – Hours of sleep-optimized audio content, from ambient soundscapes to music specifically composed to promote sleep.
- Focus Mode – Curated music and soundscapes designed to enhance concentration, with timers and ambient sounds for deep work sessions. Studies show this feature improves focus by 14%.
- Move Mode – Mindful workouts ranging from 10-45 minutes that combine movement with breathwork and body awareness. Categories include yoga, cardio, strength, and stretching.
- SOS Sessions – Short (3-minute) emergency meditations for acute stress, panic, or overwhelming moments. These are designed to be accessed immediately when you need help now.
- Headspace for Kids – Age-appropriate content for children, including meditations for calming down, focusing at school, and going to sleep.
- Daily Meditations – Fresh content every day so your practice stays engaging rather than repetitive.
Enterprise and Healthcare Partnerships:
Headspace’s clinical credibility is reflected in its partnerships. The app is offered as a health benefit by companies including Adobe, Starbucks, and Unilever, and has partnered with health systems and insurers who recognize its value for employee mental health and healthcare cost reduction. The merger with Ginger (now Headspace Health) created a comprehensive mental health platform that combines self-guided meditation with access to coaches and therapists.
Whether you’re managing diagnosed anxiety, trying to sleep better, or simply building resilience against daily stress, Headspace provides evidence-based tools in a format that makes consistent practice achievable.
Why Headspace Qualifies for HSA/FSA Eligibility
IRS Publication 502 states that medical expenses are “the costs of diagnosis, cure, mitigation, treatment, or prevention of disease, and for the purpose of affecting any part or function of the body,” but “must be primarily to alleviate or prevent a physical or mental condition or illness.”
This means Headspace can qualify for HSA/FSA reimbursement when used for prevention or treatment of:
- Anxiety and panic disorders – Mindfulness-based interventions are recognized as effective treatments for anxiety by the Anxiety & Depression Association of America. Research in JAMA Internal Medicine shows meditation produces moderate improvements in anxiety symptoms. Headspace specifically has been shown to reduce stress by 14% in just 10 days of use.
- Depression and mood disorders – The American Psychological Association recognizes Mindfulness-Based Cognitive Therapy (MBCT) as an evidence-based treatment for depression, particularly for preventing relapse. Studies show meditation’s effect on depression is comparable to antidepressant medications for mild to moderate cases.
- Sleep disorders and insomnia – The Sleep Foundation recognizes meditation as an effective intervention for insomnia. Headspace’s sleep content has been clinically studied, with research showing Sleepcasts help users fall asleep 14 minutes faster and experience improved sleep quality.
- ADHD and focus-related conditions – Research in the Journal of Attention Disorders shows mindfulness training improves attention and reduces ADHD symptoms in both children and adults. Headspace’s Focus Mode content is specifically designed to improve concentration, with studies showing a 14% improvement in sustained attention.
- PTSD and trauma recovery – The U.S. Department of Veterans Affairs includes mindfulness-based approaches in its treatment guidelines for PTSD. Meditation helps regulate the nervous system’s stress response, reducing hypervigilance and intrusive symptoms.
- Chronic stress and burnout – Chronic stress is linked to virtually every major health condition. The American Institute of Stress recognizes meditation as one of the most effective stress management techniques. Headspace’s SOS sessions provide immediate intervention for acute stress episodes.
- Stress-related hypertension – The American Heart Association issued a scientific statement concluding that meditation may be considered as an adjunct to guideline-directed cardiovascular risk reduction. Studies show regular meditation practice can lower blood pressure by 4-5 mmHg.
- Chronic pain management – Mindfulness-Based Stress Reduction (MBSR) was originally developed for chronic pain patients. Research in the Journal of Pain shows meditation reduces pain intensity and pain unpleasantness by changing how the brain processes pain signals.
- Substance use disorders and addiction recovery – Mindfulness-based relapse prevention is an evidence-based approach for addiction. Research in JAMA Psychiatry shows mindfulness training reduces cravings and relapse rates for various substances.
- Emotional dysregulation and anger management – Studies show Headspace specifically reduces aggressive behavior by 57% and increases compassionate responses. For conditions involving emotional dysregulation, meditation provides tools for response rather than reaction.
The key requirement is that your healthcare provider must document Headspace as medically necessary for preventing or managing your specific health condition, not just for general wellness. This documentation comes in the form of a Letter of Medical Necessity (LMN).
How to Assess Your HSA/FSA Eligibility For Headspace
Traditional Route: Schedule an appointment with your primary care physician or mental health provider, discuss your condition, and request a Letter of Medical Necessity if mindfulness-based intervention is recommended as part of your treatment plan. This typically requires an office visit, potential wait times, and can cost $50-100+ depending on your insurance.
Faster, Smarter Route: Use Crates Health to get your Letter of Medical Necessity online in just a few minutes. Our platform connects you with licensed healthcare providers who can evaluate your conditions remotely and issue the appropriate documentation if you qualify. No office visits, no waiting weeks for appointments, and no surprise medical bills.
Frequently Asked Questions
Do other mindfulness and meditation apps qualify for HSA/FSA?
Yes. With the right medical documentation, you can use HSA/FSA funds for other meditation apps, mindfulness programs, and mental wellness subscriptions when they’re recommended for preventing or treating specific mental health conditions. Popular alternatives like Calm can also qualify with proper documentation. Check out our complete Mental Health HSA/FSA Guide for more options.
Can I use HSA/FSA for Headspace Premium?
Yes. The Headspace Premium subscription (which unlocks the full library of meditations, sleep content, and courses) is what qualifies for HSA/FSA reimbursement when documented as medically necessary.
How does the reimbursement process work?
App stores (Apple App Store, Google Play) don’t accept HSA/FSA cards directly. You’ll pay for your Headspace subscription with your regular payment method, save your receipt, then submit the receipt and LMN for reimbursement through your HSA/FSA administrator. With Crates Health, we simplify this process: upload your receipt and get one-click reimbursements directly through our platform.
What is a Letter of Medical Necessity?
A Letter of Medical Necessity (LMN) is documentation from a licensed healthcare provider explaining why Headspace is medically necessary for preventing, managing, or treating a specific condition. It’s the official paperwork proving your meditation subscription isn’t just for general relaxation. Each LMN typically remains valid for 12 months.
Will my HSA/FSA claim get denied?
With proper documentation, denials are rare. That said, every HSA/FSA administrator is different, and some may initially deny claims due to receipt format, LMN documentation, or unclear medical necessity. Crates Health supports you through any denials and makes sure you get reimbursed.
Can my therapist or psychiatrist provide the Letter of Medical Necessity?
Yes. Letters of Medical Necessity can come from various licensed healthcare providers, including psychiatrists, psychologists, licensed clinical social workers, primary care physicians, and nurse practitioners. If your mental health provider has recommended mindfulness practice as part of your treatment plan, they can provide the documentation needed for HSA/FSA reimbursement.
Can I combine Headspace with other HSA/FSA eligible mental health tools?
Absolutely. Many people use Headspace alongside other HSA/FSA eligible products for comprehensive mental health support. Wearables like Oura Ring and Whoop track HRV and sleep quality (both affected by stress and anxiety), while sleep technology like Eight Sleep addresses sleep disorders. An LMN should be specific to a product but you can always get multiple LMNs and use multiple products as part of a comprehensive treatment approach.
