Is HSA Account Reported on FAFSA? - HSA Awareness Blog

If you're a student or a parent with a child heading off to college, you may be wondering if a Health Savings Account (HSA) impacts your financial aid eligibility on the Free Application for Federal Student Aid (FAFSA). The good news is that, in most cases, an HSA account doesn't need to be reported on the FAFSA form.

Here's why:

HSAs are considered assets for federal financial aid purposes. However, the FAFSA form only requires you to report certain types of assets, such as savings and checking accounts, investments, and real estate (other than the home you live in).

Since an HSA is a tax-advantaged account specifically designated for medical expenses, it typically falls under the category of exclusion on the FAFSA form. This means that the balance in your HSA won't impact your Expected Family Contribution (EFC), which is a key factor in determining your eligibility for financial aid.

However, it's essential to consult with a financial aid advisor or specialist to ensure you're accurately reporting all relevant financial information on the FAFSA form. While HSAs are generally not required to be reported, there may be exceptions or specific circumstances where additional information is needed.

If you're navigating the world of higher education with a child heading to college, you might be asking yourself whether an HSA account needs to be reported on the FAFSA. Luckily for you, in most situations, Health Savings Accounts (HSAs) do not need to be disclosed on the FAFSA application.