Can You Contribute to an HSA if You're on Medicare?

If you're on Medicare, you may wonder if you can still contribute to a Health Savings Account (HSA). The short answer is no, as Medicare beneficiaries are not allowed to contribute to an HSA. However, there are some nuances and exceptions to consider:

While you can't contribute to an HSA if you're on Medicare, if you were already enrolled in an HSA before you enrolled in Medicare, you can keep the account and use the funds for qualified medical expenses. Here are some key points to note:

• Medicare Part A (hospital insurance) and/or Part B (medical insurance) enrollment makes you ineligible to open a new HSA or contribute to an existing one.
• If you delay enrolling in Medicare and continue working past the age of 65 with employer-sponsored health insurance that meets HSA eligibility requirements, you can keep contributing to your HSA.
• Once you enroll in Medicare, you can no longer contribute to your HSA, but you can still withdraw funds for qualified medical expenses without penalties.

It's important to understand the rules and limitations surrounding HSAs and Medicare to make informed decisions about your healthcare savings. While you can't add to your HSA while on Medicare, you can still reap the benefits of using the funds saved.

Are you on Medicare and curious about your Health Savings Account (HSA) options? While you cannot contribute to an HSA once you're enrolled in Medicare, there are still some important details to keep in mind.