What is so special about a HSA?

  1. IntimatEvolution profile image78
    IntimatEvolutionposted 6 years ago

    What is so special about a HSA?

  2. Rock_nj profile image92
    Rock_njposted 6 years ago

    Do you mean a Health Savings Account?  They aren't so special, but they are a nice tax shelter.  You will be happy that you used an HSA when it comes time to file your federal taxes.

  3. Buttercupbb profile image60
    Buttercupbbposted 6 years ago

    Like previously mentioned there are tax benefits to HSA's, but there are even more benefits.  HSA's usually have a very low premium which is good, but to make up for this they have high deducitbles, which isn't all that bad if you tend to be a healthy person an don't go to the doctor much.  Preventative exams are usually free.  Also, a lot of times employers will contribute to your HSA account.  I know an employer that contributes $1,000 per year for a plan that covers 2 adults.  And the interest rate for HSA's is usually better than that of the typical savings account, plus even after you leave your employer, all the money in the account still belongs to you.  Lastly, the money in the HSA account rolls over from year to year, unlike in a flexible spending account.