What Happens to Money in a HSA When Going to a New Plan?

When you switch to a new health plan, you might be wondering what happens to the money in your Health Savings Account (HSA).

Here's what you need to know:

• If you have an HSA, the money in your account belongs to you, not your employer. So, even if you change jobs or health insurance plans, the funds in your HSA stay with you.
• When transitioning to a new plan, you can continue using your HSA funds for eligible medical expenses as usual.
• You can also keep contributing to your HSA in your new plan, provided you are enrolled in a High Deductible Health Plan (HDHP) that is HSA-eligible.
• If your new plan is not an HDHP or not HSA-eligible, you can still keep your existing HSA account and use the funds for qualified medical expenses. However, you won't be able to make new contributions until you are back on an HDHP.

So, in summary, the money in your HSA remains yours when transitioning to a new plan, and you can continue using it for medical expenses.

When making the leap to a new health plan, many folks have questions about their Health Savings Account (HSA) and the funds it holds. Worry not—your HSA funds belong to you, so they stay intact regardless of any job or insurance changes!

Here's the lowdown:

• Your HSA funds are yours to keep. Unlike other benefits that might be tied to your employer, your HSA remains intact no matter where you go.
• Transitioning to a different health plan? Not to fear! You can continue using your HSA funds for qualified medical expenses just as you have been.
• If your new health plan is a High Deductible Health Plan (HDHP) that qualifies for an HSA, you can keep contributing to your account, maximizing your tax-advantaged savings!
• Should you find yourself under a new plan that isn’t HDHP eligible, you can still use your existing HSA for medical costs. Unfortunately, you won't be able to add more funds until you’re back on an HDHP.

In conclusion, your HSA money stays yours throughout the transition, allowing you to navigate health expenses smoothly no matter where your career takes you.