Do HSA Accounts Roll Forward from Year to Year If Not Used?

Health Savings Accounts (HSAs) are a valuable tool for managing healthcare expenses while also saving for the future. One of the common questions people have about HSAs is whether the funds in these accounts roll over from year to year if not used. The short answer is yes, HSA accounts do roll forward from year to year, unlike Flexible Spending Accounts (FSAs) where funds do not roll over. This rollover feature makes HSAs a flexible and attractive option for many individuals.

Here are some key points to know about HSA rollovers:

• Contributions to an HSA are not lost at the end of the year. Any unused funds roll over and remain in the account indefinitely.
• There is no deadline for using the funds in an HSA, allowing account holders to save and grow their funds over time.
• Unused HSA funds can be invested, allowing for potential growth through investment earnings.

Health Savings Accounts (HSAs) are a fantastic resource for anyone looking to manage their healthcare expenses effectively. A common concern among potential account holders is whether the funds in these accounts roll over from year to year if not used. The reassuring answer is yes! HSA accounts allow you to carry your unused funds forward indefinitely, which sets them apart from Flexible Spending Accounts (FSAs) that typically do not offer this feature.