Can You Use HSA Funds That Are Invested?

When it comes to Health Savings Accounts (HSAs), one common question that arises is whether you can use HSA funds that are invested. The short answer is yes, you can use HSA funds that are invested for qualified medical expenses.

Here are some key points to consider:

• HSAs allow for both contributions and earnings to grow tax-free.
• Unlike a Flexible Spending Account (FSA), the funds in an HSA are not subject to a 'use it or lose it' rule.
• For HSA funds that are invested, they continue to earn interest or returns on investment until you decide to use them for medical expenses.
• It's important to keep track of your receipts and documentation for any qualified medical expenses paid using HSA funds, including those from investments.
• Using HSA funds for non-qualified expenses may incur taxes and penalties.

So, in short, you can absolutely use HSA funds that are invested, as long as the expenses are considered qualified medical expenses.

Absolutely! When it comes to your Health Savings Account (HSA), utilizing funds that are invested is entirely possible for qualified medical expenses. It's a great way to make the most out of your savings while enjoying the benefits of investing.