Are Gym Memberships Covered by a Lifestyle Spending Account?
Gym memberships are consistently one of the top expenses employees want help paying for — yet most traditional benefits packages don’t cover them. A Lifestyle Spending Account (LSA) closes that gap, letting employers fund gym memberships as a flexible, reimbursable benefit. According to SHRM, physical activity benefits rank among the most requested voluntary benefits by employees. This page covers what gym-related expenses qualify, how the reimbursement process works, and how HR teams configure it inside Espresa.
What Is an LSA for Gym Memberships?
A gym membership LSA is an employer-funded benefit that reimburses employees for the cost of joining and maintaining a gym or fitness facility. Employees choose the gym that works for them — from budget chains to boutique studios — and submit their membership fee for reimbursement through their Lifestyle Spending Account. What qualifies depends on your employer’s plan design, so always confirm with your HR team before submitting a claim. See also: LSA for online fitness apps for employees who prefer working out at home.
What Gym and Fitness Expenses Are Typically LSA-Eligible?
Eligible expenses vary by employer, but the following categories are commonly covered under a fitness or physical wellness LSA:
Gym & facility memberships
- Monthly or annual memberships at national gym chains (e.g. LA Fitness, Planet Fitness, Equinox-style facilities)
- Boutique studio memberships for cycling, yoga, Pilates, or barre
- University or community recreation center memberships
- YMCA or nonprofit fitness facility memberships
- Rock climbing gym or martial arts studio memberships (see: LSA for martial arts and self-defense training)
Digital & hybrid fitness
- All-access fitness app subscriptions with live and on-demand classes
- Virtual personal training platform memberships
- Online fitness class bundles (see: LSA for online fitness apps)
Fitness instruction & coaching
- Group fitness class packages (spin, kickboxing, boot camp)
- Personal training session packages purchased through a gym
- Small group training programs at a licensed facility (see: LSA for personal training and coaching)
Specialty & therapeutic fitness
- Aqua fitness or pool-based exercise memberships (see: LSA for aqua fitness programs)
- Low-impact fitness memberships for injury recovery or rehabilitation
- Adaptive fitness programs for employees with disabilities (see: LSA for adaptive fitness programs)
Note: Eligibility is always determined by your employer’s LSA plan design. Confirm with your HR team before submitting a claim.
The Business Case for Covering Gym Memberships
Physical inactivity carries a direct cost for employers that often goes unmeasured.
The CDC estimates that physical inactivity costs U.S. employers approximately $117 billion annually in lost productivity and increased healthcare utilization — making gym access one of the higher-ROI wellness investments available.
RAND Corporation research found that employer wellness programs focused on exercise and lifestyle change produced measurable reductions in absenteeism and healthcare costs, with fitness-related components showing the strongest returns.
A Gallup study on employee wellbeing found that employees who regularly exercise report significantly higher energy levels, better focus, and lower rates of burnout — all of which translate directly to workplace performance.
The Society for Human Resource Management consistently reports that fitness and wellness benefits rank among the top non-salary factors employees consider when evaluating job offers, making gym reimbursement a meaningful lever in both recruiting and retention.
Why HR Teams Add Gym Memberships to Their LSA Programs
Reduce healthcare costs upstream
Employees who exercise regularly are less likely to develop chronic conditions that drive healthcare claims. Funding gym access proactively is significantly cheaper than managing the downstream costs of sedentary-related illness.
Meet employees where their preferences already are
Gym memberships are one of the most-requested employee benefits. Rather than designing a wellness program employees have to adapt to, an LSA lets them use the gym they already belong to — or motivates them to join one they’ve been considering.
Complement remote and hybrid work policies
As more employees work away from an office, employer-sponsored on-site fitness facilities have become irrelevant for much of the workforce. LSA gym reimbursements extend the same benefit equitably to employees regardless of where they work.
Stand out in a competitive talent market
Gym reimbursement is a visible, tangible benefit that employees notice and talk about. In a market where candidates compare total compensation carefully, it’s the kind of practical perk that tips decisions.
How HR Teams Set This Up in Espresa
- Define what qualifies. Decide whether to cover gym memberships only, or to broaden the category to include fitness classes, personal training, and digital platforms. Espresa lets you set these eligibility rules at a granular level. See how LSA configuration works →
- Set the annual allowance. Most employers offering a fitness LSA allocate between $300 and $1,200 per employee annually. This can be a standalone fitness category or pooled within a broader wellness LSA.
- Let employees self-serve. Employees submit their gym membership receipt through the Espresa app and receive reimbursement on your defined schedule — no manual HR processing required.
How Employees Use Their LSA for a Gym Membership
- Join any qualifying gym or fitness facility and pay as normal
- Log into the Espresa app and submit a photo of the membership receipt
- Select the appropriate LSA category (fitness or physical wellness)
- Receive reimbursement on your employer’s defined payment cadence
- Use remaining funds for other eligible fitness expenses like personal training, wearable fitness devices, or home exercise equipment
Frequently Asked Questions
Can I use my LSA to pay for a gym membership?
In most cases, yes — if your employer has included gym memberships as an eligible expense in your LSA plan. Check with your HR or benefits team to confirm what your specific plan covers before submitting a claim.
Does an LSA cover boutique fitness studios like SoulCycle or yoga studios?
Many employers include boutique fitness studios as eligible under their fitness LSA category, but it depends on how your employer has defined the plan. Some plans cover any licensed fitness facility; others limit reimbursement to traditional gyms. Confirm with your HR team.
Is a gym membership an FSA or HSA expense?
No. Gym memberships are generally not eligible under FSAs or HSAs, which are restricted to qualified medical expenses as defined by the IRS. LSAs are employer-funded and not subject to IRS restrictions, which is why gym memberships are a common LSA benefit.
How much do employers typically reimburse for gym memberships?
Most employers offering a fitness LSA allocate between $300 and $1,200 annually. Some offer gym reimbursement as a standalone benefit with a fixed monthly cap (e.g. $50/month); others include it within a broader wellness LSA that employees allocate themselves.
Can remote employees use the gym membership benefit?
Yes — one of the advantages of an LSA over an on-site gym is that remote employees can use any gym near them and still receive the same reimbursement. It’s one of the most equitable ways to extend fitness benefits to a distributed workforce.
What’s the difference between an LSA and a corporate gym discount program?
Corporate discount programs (like those offered through some insurers) reduce the price of specific gym memberships but don’t give employees cash reimbursement or full choice. An LSA reimburses the actual cost at the employee’s gym of choice, making it significantly more flexible and higher in perceived value.
