What are the requirements to have an HSA account?

Health Savings Accounts (HSAs) are a great way to save for medical expenses while enjoying valuable tax benefits. To open an HSA account, you must meet certain requirements:

• You must be covered by a High Deductible Health Plan (HDHP).
• You cannot be enrolled in Medicare.
• You cannot be claimed as a dependent on someone else's tax return.
• You must not have any other disqualifying health coverage.
• You must not be enrolled in a general purpose Flexible Spending Account (FSA) or Health Reimbursement Arrangement (HRA).

Once you meet these requirements, you can open an HSA account and start saving for your healthcare needs. Remember that contributions to your HSA are tax-deductible, withdrawals for qualified medical expenses are tax-free, and any unused funds roll over year after year.

Health Savings Accounts (HSAs) represent a fantastic way to not only save for medical expenses but also to enjoy attractive tax advantages. To be eligible for an HSA, specific criteria must be met: you need to be covered by a High Deductible Health Plan (HDHP) and cannot be enrolled in Medicare. In addition, you should not be claimed as a dependent on someone else's tax return and must avoid disqualifying health coverage. Lastly, make sure you're not enrolled in a general purpose Flexible Spending Account (FSA) or a Health Reimbursement Arrangement (HRA).