HSA Guide
Does HSA Roll Over If You Switch Plans?
Published June 5, 2023
Check eligibility on the go — browse 7,000+ HSA-eligible products in the free app.
Get the appHSA portability when switching plans
If you have a Health Savings Account (HSA) and are considering switching health insurance plans, you might be wondering if your HSA funds will roll over to the new plan. The good news is that HSAs are portable and belong to you, so you can keep your account when you change plans. Here's what you need to know:
When you switch health insurance plans, your HSA balance stays with you. You won't lose the money you've already saved, and it will continue to grow tax-free. However, there are a few key points to keep in mind:
Key steps to keep HSA benefits
- Check if your new health plan is HSA-eligible: Not all health plans qualify for an HSA, so make sure your new plan allows you to have an HSA account.
- Transfer funds directly: If possible, transfer your HSA funds directly from your old HSA provider to the new one to avoid any tax implications.
- Keep track of contribution limits: Be mindful of HSA contribution limits to ensure you comply with the regulations and maximize your tax benefits.
- Utilize HSA investment options: Consider investing your HSA funds for long-term growth potential to boost your savings for future healthcare expenses.
Summary: HSA stays with you
In summary, your HSA funds will roll over if you switch plans, but it's essential to understand the guidelines and make informed decisions to make the most of your HSA benefits.
Wondering what happens to your Health Savings Account (HSA) when you switch insurance plans? Don't worryâyour HSA is yours to keep! Just remember, the funds you've saved are safe and continue to grow tax-free, no matter what health plan you choose next.