HSA News for May 10, 2021
HSA is compiled weekly by Mr. HSA, Roy Ramthun.
News from Washington
Democrats Hit Crucial Stretch as Filibuster Fight Looms
Democrats are hitting a crucial stretch as much of President Biden’s agenda remains stuck in limbo in the Congress. Democrats have touted their progress under Biden’s first 100 days, but it’s the next 100 days that they view as key for big priorities that will test the filibuster, and what can get GOP support, if any.
HHS Announces ACA Out-of-Pocket Limit for 2022
The U.S. Department of Health and Human Services has announced the inflation-adjusted maximum out-of-pocket limits that will apply to non-grandfathered plans for plan years beginning in 2022. The final limits are $400 less than the proposed numbers due to HHS changing the methodology in determining the cost of living adjustments. Those limits are higher than the limits allowed for HSAs.
HSA Studies & Analysis
Time Is the Key Element in Building HSA Balances
In investing, patience and time are the key elements to building balances. The same holds true with HSAs. Obviously, the longer people own and fund an account, the larger the average balance. That's also true of retirement accounts. But the HSA dynamic is different because these funds can be used for both current and future expenses.
HSA Compliance Corner
Can You Take COBRA Subsidy and Remain HSA-eligible? Yes, If . . .
Many laid-off workers will soon receive information on their eligibility to receive up to six months of premium-free COBRA continuation coverage. They may be eligible to fund their Health Savings Account during this time.
HSAs & Retirement
Fidelity’s 20th Annual Retiree Health Care Cost Estimate Hits New High
Fidelity Investments announced its 20th annual Retiree Health Care Cost Estimate stating that a 65-year old couple retiring this year can expect to spend $300,000 in health care and medical expenses throughout retirement. This year’s estimate marks a new milestone high, up 30% from 10 years ago, but just 1.7% from 2020 as health care inflation has remained relatively flat over the last few years.
Health Care Costs in Retirement Remain a Top Stressor
Fidelity Investments’ updated retirement health care cost projections raise new and pressing questions for retirement industry practitioners. Fidelity’s data suggest that affording health care is a top stressor when the typical worker thinks about retirement, yet 58% of employees say they’ve spent little or no time planning to meet these costs.
Maximizing Your HSA
Hacking Your HSA Like a Pro
Medical care is an important consideration in personal finance because the medical services we need and how we plan to fund those services or products directly impacts so many areas of our lives, especially our money. Enter the Health Savings Account, featuring a triple tax benefit. Above all, have a plan for healthcare at every point in your life, especially approaching or in retirement.
Consumer-Driven Health Care
Biden's HealthCare.gov Gives Individual Coverage HRAs a Cool Welcome
Managers of HealthCare.gov have bent, a little, to accommodate web brokers that help workers with individual coverage HRAs sign up for health insurance.Officials at the Centers for Medicare and Medicare Services gave individual coverage HRA programs a limp handshake in a new final rule.