What Happens to My HSA Contribution When I Change Jobs?

Changing jobs can bring about many financial considerations, including what happens to your Health Savings Account (HSA) contributions.

When you change jobs, here's what usually happens to your HSA contribution:

• Your HSA belongs to you, so you keep it even if you change employers.
• You can continue using the funds in your HSA to pay for qualified medical expenses.
• You can also keep contributing to your HSA from your new job's paycheck.
• However, your new employer may not offer an HSA or may use a different HSA provider.
• If your new employer uses a different HSA provider, you can usually transfer your existing HSA funds to the new account without tax implications.
• If you're not eligible for an HSA with your new employer, you can still keep your existing HSA and use the funds for qualified medical expenses.

It's essential to stay informed about the specifics of your HSA account, especially when changing jobs, to ensure that you can continue to benefit from this valuable resource for healthcare expenses.

Changing jobs can lead to several financial questions, especially when considering your Health Savings Account (HSA) contributions. Fortunately, your HSA is a personal asset that travels with you regardless of where you work.

• Since the HSA is yours, you retain ownership even if you switch employers.
• You can tap into the funds within your HSA for any qualified medical expenses you may encounter.
• Additionally, you can opt to keep making contributions to your HSA through your new job's payroll deductions.
• Bear in mind, though, that your new employer may not provide an HSA or might partner with a different HSA provider than your previous employer.
• If that’s the case, transferring your existing HSA funds to your new provider is typically straightforward and tax-free.
• In instances where your new employer does not support HSAs, rest assured that the existing HSA is still accessible for managing your medical costs.