Can You Contribute to an HSA to Reduce 2017 Taxes?

Health Savings Accounts (HSAs) are a great way to save money for medical expenses while also saving on taxes. If you are looking to reduce your 2017 taxes, contributing to an HSA can be a smart financial move. Contributions to an HSA are tax-deductible and can help lower your taxable income for the year.

When it comes to 2017 taxes, the deadline for making HSA contributions is typically April 15 of the following year, just like the deadline for filing tax returns. So, if you want to reduce your 2017 taxes, you still have time to make contributions to your HSA for that year.

Here are some key points to consider regarding contributing to an HSA to reduce 2017 taxes:

• HSAs offer triple tax benefits - tax-deductible contributions, tax-deferred growth, and tax-free withdrawals for qualified medical expenses.
• You can contribute to your HSA up to the annual limits set by the IRS for the year. For 2017, the contribution limit for individuals was $3,400 and for families was $6,750.
• If you are 55 or older, you can make an additional catch-up contribution of $1,000 to your HSA.
• Contributions to your HSA must be made by the tax filing deadline to count for that tax year.

By contributing to an HSA, you not only save on taxes but also build a financial cushion for future medical expenses. It's a win-win situation that can benefit your health and your wallet. Consider consulting with a financial advisor or tax professional to understand how HSA contributions can impact your tax situation and maximize your tax savings.

Health Savings Accounts (HSAs) are not just great for saving on medical costs; they are also an effective way to reduce your tax burden. In 2017, if you're thinking about your taxes, making contributions to an HSA could really pay off.