If you have a high-deductible health plan (HDHP), a Health Savings Account (HSA) can be an excellent tool to help you cover qualified medical expenses like dental care, vision care, medical appointments, and prescriptions.
The Advantages of HSAs
HSAs offer a triple tax advantage, which is a significant draw for many people.
- You can contribute to your HSA account with pre-tax income, reducing your taxable income for the year.
- Any interest or investment gains on your HSA funds grow tax-free.
- You won’t have to pay taxes when you withdraw money from your HSA to cover eligible medical expenses.
Tips for Maximizing Your HSA
Unlock the full potential of your HSA with these strategic tips.
- Contribute the maximum amount allowed by the IRS to your HSA each year to take full advantage of the tax benefits.
- Start contributing to your HSA as soon as possible to give your contributions more time to accumulate.
- Take advantage of employer-offered HSA matches to increase your savings.
- Consider investing your HSA funds to grow your savings even faster.
Managing Your HSA Funds
Discover how skillful management of your HSA funds can empower you to proactively strategize and meet potential medical expenses head-on.
- Keep receipts for medical expenses so that you can reimburse yourself from your HSA at a later date.
- Plan ahead to use your HSA funds to cover future healthcare costs.
- Invest in your health and wellness with your HSA funds to reduce future healthcare expenses.
- Use your HSA funds to cover COBRA continuation coverage premiums if you experience job loss or a change in employment status.
Partnering with Pierce Group Benefits
Incorporating HSAs into your benefits package can lead to a more productive and content workforce. For more information on HSAs and to foster a culture of wellness within your organization, speak with your Pierce Group Benefits Account Manager or get in touch with a PGB Representative at firstname.lastname@example.org.