What Happens to My HSA If I Leave the Country?

If you have a Health Savings Account (HSA) and you are planning to leave the country, you may wonder about the status of your HSA. Here's a guide to understand what happens to your HSA if you decide to move abroad:

When you leave the country, you won't lose your HSA funds. Your HSA is yours to keep, and the money in it will remain available for eligible medical expenses even if you move overseas. However, there are some things to consider:

• If you no longer have a high-deductible health plan (HDHP), you cannot contribute to your HSA while living abroad as contributions can only be made when covered by an HDHP.
• You can still use the funds in your HSA for qualified medical expenses even outside the U.S.
• If you close your HSA while abroad, you may be subject to taxes and penalties on the withdrawal, similar to withdrawing for non-medical expenses.
• It's essential to keep your HSA account active and monitor it periodically, especially if you plan to return to the U.S.

It's crucial to plan ahead and make informed decisions regarding your HSA if you are considering leaving the country. Consult with a financial advisor or tax professional for personalized guidance.

Wondering what happens to your Health Savings Account (HSA) when you leave the country? Don't worry! Your HSA funds remain yours and can still be used for eligible medical expenses abroad.