HSA News for September 14, 2020
HSA news is compiled weekly by Mr. HSA, Roy Ramthun.
News from Washington
Senate Democrats Block $300 Billion Coronavirus Stimulus Package, Leaving Little Hope for Relief Before November
Senate Democrats blocked a $300 billion COVID-19 stimulus bill on September 10, dampening the prospects Congress will pass much-needed financial relief for Americans weathering the coronavirus pandemic ahead of the November election.
GOP Senators Say Coronavirus Deal Dead Until After Election
Republican Senators declared a fifth coronavirus relief bill all but dead on September 10, the latest signal that Congress is unlikely to pass any further pandemic assistance before the November election.
HSA Studies & Analysis
4 Charts Tracking HDHP, HSA Availability Among Employers
As health care costs continue to rise, employers are turning to alternatives to keep expenses in check. And interest in high-deductible health plans keeps growing, despite concerns that such plans can lead people to avoid medical care and possibly lead to more expensive bills down the road.
The HSA Market
How Is the Pandemic Affecting HSA Owners' Balances and Behavior?
The past six-month period with COVID-19 has changed our lives forever, in ways that we're only beginning to realize. Most Americans didn't lose their jobs, but many have, and those who haven't wonder whether they may be next. In this environment, consumers are looking for all the financial allies that they can activate for the battle. A Health Savings Account is one such ally.
"Retrospective HSA" Breaks New Ground to Pay Medical Bills? Nope!
A new competitor in the HSA market is touting the "Retrospective HSA" as an opportunity to get a quick pop in your paycheck. It emphasizes one of the key benefits of HSAs. But does it break new ground? The truth lies somewhere in the middle.
Houston Employees Are Signing Up for PPOs, HDHPs, New Study Finds
Employees prefer health insurance plans that give them greater choice of doctors and specialists even if employees must pay more, according to a study by the Houston Business Coalition on Health. Another finding of the survey was that employers are gradually shifting employees onto HDHPs.
Most Employers Intend to Offer Same Health Care Coverage in 2021
Gallagher’s latest employee benefits survey revealed that 79% of employers expect to offer the same coverage in 2021. Employers’ top concerns are the high costs of medical services and specialty drugs. Gallagher says that these and other challenges may force many organizations to adjust their 2021 benefits and compensation offerings by raising employees’ premiums and/or turn to HDHPs.
Maximizing Your HSA
HSA Benefits
If you're eligible to contribute to an HSA, there are ample reasons to do so. Despite the benefits of HSAs, there are also a few disadvantages, including strict limitations on who can contribute and substantial penalties on withdrawals for non-healthcare expenses before age 65. To help you decide if contributing to an HSA is right for you, here are eight major HSA benefits, as well as four downsides worth considering.
HSA Distributions
An HSA distribution is a withdrawal from your health savings account. HSA distributions taken to pay for eligible medical expenses are not taxable, but still must be reported to the IRS. Here's what you need to know about HSA distribution rules and your obligations to the IRS when you make them.
What's the Difference: HSA vs. FSA
Both an HSA and an FSA allow you to pay for medical care with pre-tax dollars, which reduces the cost. But while they sound similar, there are important differences between them. This guide will help you understand how the rules differ when it comes to eligibility, using account funds, and more.
Comparing HRA vs. HSA Accounts
HRAs and HSAs can both reduce the costs of paying for medical care, but there are important differences between these two savings vehicles. The main difference between HRAs and HSAs is that HRAs are owned and funded by employers and thus subject to more limitations on how the money is used. Let's look at these differences in more detail.
Consumer-Driven Health Care
CMS Launches Care Compare to Aid Patient Care Access Decisions
The Centers for Medicare & Medicaid Services has officially launched Care Compare, a patient-facing website that streamlines all eight of the CMS Compare websites to make the process for accessing care easier for patients and their family caregivers and help patients make more informed decisions about care access.