Since 2004, the concept of using an #HSA has been growing steadily, and its predicted that it will surpass both HRAs and FSAs. That’s a lot of acronyms. To sum it all up, people like HSAs. They’re not wild about High Deductible Health Plans, or #HDHPs, but that is the only way to have an HSA, is to enroll into an HSA compatible HDHP. Studies are saying that by 2021, the number of HSA accounts will rise to almost 43 million. All the money you bank with an HSA is tax free. You either do it pre-taxed by your employer, or you deduct it from your 1040 when you do your taxes.
HSAs are super flexible and a great way for long term savings
I insure tons of employers, where their employees have HSA accounts. Many #employees have come up to me at Open Enrollment meetings and thanked me for suggesting (more like coercing), their employers to bring HSAs into the workplace. Some of them have been able to amass thousands of dollars that can be used for a MULTITUDE of things! Not to mention, IF they end of blowing up the plan one year, they have the funds available to handle the unforeseen costs. One guy was absolutely giddy, telling me that he has over $20,000 in his HSA account.
Being able to “insure” your deductible
I get weird looks from #employers and employees when I use this term. Hear me out….there are insurance products out there that will cover much, if not all, of your deductible, when you have an accident or a hospital stay. To be very frank, these products are cheap, easy to get, and cover tons of issues, mostly surrounding accidents or issues resulting from accidents. I have these products for myself AND for my employees as well. This is a short blog, so I can’t really explain fully how these work. For myself, I have an HSA plan, bank money each year, and also have these ancillary products that help insure my deductible. It truly works, and like I said, easy to implement.
HSA money can be used for way more things than you think
Almost everything you can think of, medically related, can be purchased with TAX FREE HSA money. President Trump has also increased the number of things you can get with HSA money. Some HSA qualified expense examples are; massage therapy, chiropractic, acupuncture, anything dental or vision related, prescription drugs, and how about this one….you can use your banked HSA funds to pay for Medicare premiums and Long Term Care.
Bottom line….HSA plans are some of the least expensive plans out there and with a little determination, you can seriously bank some money, tax free!