Does Money in a Health Savings Account (HSA) Roll Over? - HSA Awareness

Many individuals wonder if the money in a Health Savings Account (HSA) rolls over from year to year. The answer is a resounding yes! Unlike Flexible Spending Accounts (FSAs), the funds in an HSA do not expire at the end of the year, allowing account holders to build savings over time for future medical expenses.

Contributions to an HSA can be made by both the account holder and their employer, with the total yearly contribution limit set by the IRS. Any unused funds in the account at the end of the year are carried over to the next year, providing a valuable opportunity to grow a healthcare nest egg.

Here are some key points to note about rollovers in an HSA:

• HSA funds roll over from year to year with no expiration
• Unused funds can continue to grow tax-free
• Contributions can be made by both the account holder and employer
• Annual contribution limits are set by the IRS
• Rolled over funds can be used for future qualified medical expenses

If you're looking for a way to save money for medical expenses, it's crucial to know that the funds in your Health Savings Account (HSA) roll over year after year, unlike other accounts like Flexible Spending Accounts (FSAs) which can expire. This feature allows you to accumulate savings consistently without the fear of losing your hard-earned money as the year ends.