What Happens When You Quit Your Job with HSA?

Leaving a job that offered an HSA (Health Savings Account) can raise questions and concerns about your health savings. Here's what you need to know:

If you quit your job with an HSA, the account belongs to you, not your employer. You can continue to use the funds for eligible medical expenses, even after leaving the company.

However, there are some key points to consider when you leave your job with an HSA:

• Make sure to update your contact information with the HSA provider to receive important account-related notifications.
• Consider rolling over your HSA funds into a new HSA account to avoid maintenance fees and continue saving for future healthcare costs.
• If you withdraw funds for non-qualifying expenses before the age of 65, you may face taxes and penalties.
• After turning 65, you can withdraw funds for non-medical expenses penalty-free, though regular income taxes still apply.

Remember, an HSA is a valuable tool for saving for healthcare expenses, and leaving a job doesn't mean losing your savings account. With proper planning and understanding of the rules, you can effectively manage your HSA even after a job change.

Deciding to leave a job that offered you an HSA (Health Savings Account) raises several questions about your health savings. It’s important to know that your HSA is yours to keep, regardless of your employment status. After quitting your job, you can still utilize your HSA funds for qualified medical expenses.