Triple Tax Advantage
Important Notice
These calculators are for educational and informational purposes only. Results are estimates based on the information you provide and should not be considered financial, tax, or investment advice. Your actual results may vary. For personalized guidance, please consult a qualified financial advisor, tax professional, or other appropriate expert.
People Also Ask
What is the HSA triple tax advantage?
1) Contributions are tax-deductible (and avoid FICA if through payroll). 2) Growth is tax-free. 3) Withdrawals for qualified medical expenses are tax-free. No other account offers all three.
What are HSA contribution limits?
For 2024: $4,150 (individual) or $8,300 (family). Those 55+ can add $1,000 catch-up. You must have a qualifying high-deductible health plan (HDHP) to contribute.
Can I invest my HSA funds?
Yes. Many HSA providers offer investment options similar to 401k or IRA. Consider keeping some cash for near-term medical expenses and investing the rest for long-term growth.
Should I use my HSA or pay medical bills out of pocket?
If you can afford to pay out of pocket, letting HSA grow invested may be beneficial. Keep receipts - you can reimburse yourself years later for any qualified expense incurred after opening the HSA.