| News from Washington |
| Bills Would Cover More Services Below the Deductible on HSA-qualified Plans Members of Congress have left Washington, DC, through the November 8 mid-term elections. They’ll reconvene sometime later this year for a lame-duck session during which proposals to strengthen HSAs or correct technical issues may be considered. A number of bills have been introduced in the 117th Congress already. Below are the bills related to HSAs that have been introduced this session. Read More |
| HSA Compliance Corner |
| Can Your Company Offer Both an HRA and an HSA Although a traditional Health Reimbursement Arrangement disqualifies an employee from opening and funding a Health Savings Account, a limited HRA design is permitted. And so are some arrangements in which different employees are offered an HRA or a Health Savings Account. Here’s how you can understand what’s permitted and what isn’t. Read More |
| Debate: Should High-Deductible Health Plans Cover Telehealth? Since the COVID-19 pandemic, taxpayers have relied more heavily on remote health care services. But absent legislative action, the restrictions that were imposed by pre-existing regulations will resume — meaning that high-deductible health plans will no longer be authorized to cover the cost of remote preventative services before the participant’s deductible has been satisfied. Should they be extended? Read More |
| HSA Best Practices |
| Best Practices for Providers to Boost HSA Invested Assets Health savings accounts assets have risen steadily but providers could more effectively boost their use, a new report finds. Among the HSA provider best practices recommended to boost their use, the report urges that providers ditch investment thresholds, reduce fees and continue to cull investment lineups. Read More |
| 3 Myths Preventing Employers From Embracing HSA-Qualified Plans The biggest barrier to HDHP and HSA adoption is education. By communicating the value of your benefits offering and educating your staff on how your HSA-qualified plan can benefit them long-term, you can boost engagement during open enrollment and motivate your employees to explore and take advantage of their options. Here are some actionable steps you can take. Read More |
| HSAs & Retirement |
| How Does an HSA Fit Into Your Retirement Plan? There’s a common misconception that you don’t have to worry about healthcare costs when you retire because Medicare has you covered. Medicare certainly helps, but if you’re not budgeting for medical bills in retirement, you’re not budgeting enough. Half of the people who participated in a new survey cited a major unexpected healthcare expense as their No. 2 concern for retirement planning. Read More |
| The Power of Health Savings Accounts for Retirement If you have the opportunity, you may want to take advantage of the triple-tax savings offered to you by the IRS in the form of a Health Savings Account. You will have medical expenses, and accurately accounting and preparing for those expenses is essential in a successful retirement strategy. HSA can be one of the most overlooked yet powerful tools in helping to potentially reach your retirement goals. Read More |
| This Expense Could Be Your Largest During Retirement. Are You Prepared? Once you enter retirement, you may find that there’s an expense that really starts to add up on you — healthcare. Granted, healthcare costs can be significant even when you’re younger. But as we age, medical issues tend to creep up. And if you think Medicare will pick up the tab for all of your costs, you’re sorely mistaken. So you’ll need to save up accordingly. Read More |
| 56% of Workers Say Affording Healthcare in Retirement Is a Major Goal. Here’s How to Meet It. You may be inclined to simply boost your IRA or 401(k) plan contributions and use that extra money to cover your healthcare costs down the line. But if you really want to put yourself in a position to cover your senior medical costs without stress, it pays to have an account that’s dedicated to healthcare spending. That’s where a Health Savings Account comes into play. Read More |
| What to Do in Your 40 and 50s to Plan for Healthcare Costs in Retirement Retirement might still feel a long way off in your 40s and 50s, but that day is going to arrive faster than you think. While retirement advice often focuses on finances, adults also need to make plans for healthcare costs, since older age is when people are more likely to need these services. Here are expert takes on the best strategies for preparing for retirement healthcare costs early. Read More |
| Maximizing Your HSA |
| Can You Save Too Much in a Health Savings Account? Can you overdo your HSA contributions and put more in the account than you’re likely to spend on healthcare costs? The short answer is that it’s unlikely, largely because HSAs have generous features around withdrawals. In a worst-case scenario where your HSA account balance exceeds your expected healthcare costs, you have two key ways to get your money out sooner without negating the tax benefits of the HSA. Read More |
| HSAs Are Underrated Savings Tool I have a favorite savings crush (among all the savings buckets). It’s my Health Savings Account. At minimum HSAs are an important savings tool to defend against potentially devastating health care expenses. But what many people don’t realize is that the HSA has tax attributes that make it more attractive as a retirement account. Read More |
| Consumer-Driven Health Care |
| How to Decide Between an FSA and an HSA When you review your employee benefits as you start a new job, or during open enrollment each year, it’s all kind of an alphabet soup. Two of them – FSA and HSA – help you to both lower your tax bill and put cash aside to pay for your healthcare. How do you know which is right for you? Here’s important factors to consider. Read More |
| 3 Little-Known Perks of a High Health Insurance Deductible If you work for a company that offers a subsidized health plan (which many do), you may be offered the option to select a high-deductible insurance plan. Some health plans have a higher deductible than others, and at first, those might seem like a poor choice. But while high-deductible health insurance plans aren’t perfect, they actually do have their benefits. Here are a few you might appreciate. Read More |
| High-Deductible Plan Enrollees Less Likely to Receive Substance Use Treatment: Study Enrollees in high-deductible health plans are 6.6 percent less likely to access treatment for substance use disorder than those with traditional plans, a new study found. The study analyzed claims data from 2007 to 2017 to compare individuals offered a high-deductible plan to those with a traditional option. Read More |