What to Do with an HSA When You Change Jobs

Changing jobs can be an exciting yet challenging time, and one of the things you may need to consider is what to do with your Health Savings Account (HSA). An HSA is a tax-advantaged savings account that allows individuals to save for medical expenses. Here are some steps to guide you on what to do with your HSA when you change jobs:

1. Assess your current HSA balance: Take stock of how much you have saved in your HSA account.
2. Understand your new employer's benefits: Check if your new employer offers an HSA and if they provide any contributions or match.
3. Transfer funds to your new employer's HSA: You can roll over your HSA funds to your new employer's plan if they offer one. This allows you to continue using the funds for medical expenses.
4. Keep your existing HSA open: If your new employer does not offer an HSA or if you prefer to keep your current account, you can leave the funds in your existing HSA and continue to use it for eligible expenses.
5. Use the funds for qualified medical expenses: Remember that HSA funds can only be used for qualified medical expenses to avoid penalties.
6. Consider investing your HSA funds: If you have a substantial balance in your HSA, you may have the option to invest the funds for potential growth.

Changing jobs often brings a whirlwind of emotions, and it's crucial not to overlook your Health Savings Account (HSA). Start by assessing how much you've accumulated in your HSA, as this will help you decide your next steps.