Understanding HSA Contribution: What is a HSA Contribution?

Health Savings Account (HSA) contribution is the amount of money that you or your employer deposits into your HSA account to help cover your medical expenses tax-free.

Here are some key points to help you understand HSA contributions:

• Contributions can be made by you, your employer, or both.
• There are annual limits set by the IRS on how much you can contribute.
• Contributions are tax-deductible, meaning you can reduce your taxable income by the amount you contribute.
• You can use the funds in your HSA to pay for qualified medical expenses.
• Any unused funds roll over from year to year, so you can save for future medical expenses.

A Health Savings Account (HSA) contribution refers to the funds that you or your employer contribute to your HSA, designed to help offset the costs of medical expenses without incurring taxes.