HSA News for June 7, 2021
HSA News is compiled weekly by Mr. HSA, Roy Ramthun.
News from Washington
Biden Rejects New GOP Offer as Spending Talks Drag On
President Biden rejected the latest GOP offer on infrastructure during a phone call with Sen. Shelley Moore Capito (R-WV) on June 4, though the two agreed to speak again next week. Capito reportedly raised Republicans’ current offer by $50 billion but Biden “indicated that the current offer did not meet his objectives to grow the economy, tackle the climate crisis, and create new jobs.”
Biden Faces Challenge with Democrats on Infrastructure Package
President Biden faces hurdles toward getting consensus among Democrats on an infrastructure package, regardless of if it's bipartisan legislation or if Democrats pursue legislation on their own.
Progressives are getting frustrated with Biden’s ongoing talks with Republicans, and want the White House to start to pursue an infrastructure package that could pass without GOP support.
Parliamentarian: Democrats Only Get One More Chance to Sidestep GOP This Year
Senate Parliamentarian Elizabeth MacDonough has effectively ruled that only one more automatic budget reconciliation is permissible this year, dealing a blow to Democrats who previously thought they would have two more chances to sidestep Republicans in advancing President Biden's agenda.
HSAs & Retirement
No 401(k) Match? Two Even Better Ways to Save for Retirement
There may actually be two better ways to save for retirement than sticking your cash in a 401(k). An HSA is actually one of the best options available to save for your later years. That's because HSAs allow you to invest with pre-tax dollars and enjoy tax-deferred growth, just like 401(k)s. But they also allow you to take money out of the account tax-free in retirement, which isn't an option with a traditional 401(k).
Helping Clients Manage Health Care Costs in Retirement
A 65-year old couple can expect to spend $300,000 on health care costs in retirement, not including long-term care. Clients need your help in planning for this significant expense before reaching retirement age. HSAs can provide an excellent way to save for these costs.
Maximizing Your HSA
HSAs - Beyond the Triple Tax Advantage
HSAs can do much more for you and your family beyond tax-deductible contributions, tax-free growth, and tax-free withdrawals for qualified medical expenses. A few more planning opportunities lurk beneath the surface that can be helpful to know in the right situation.
How to Best Use Your Health Savings Account
HSAs are rightfully viewed by financial planners as a powerful retirement savings tool with unmatched tax benefits. Savers should consider a range of short- and long-term strategies with HSAs—and avoid situations where they can be suboptimal or even harmful. But individuals need to evaluate health coverage factors before seeking the tax benefits of the HSA.
Top 10 HSA Questions, Answered
HSAs have grown in popularity since they were established in federal law in 2003. While they remain a treasured benefit to many employees, the rules surrounding use, taxes, eligibility and rollovers can be complex. Move through this slideshow to learn 10 important questions related to HSAs and their corresponding answers.
HSA Rollover: Your Guide to Consolidating Your HSA Funds
You aren’t bound to a particular provider for your Health Savings Account. You can move your account to a different company at any time, which may help you earn even more tax-free money to cover medical bills for the rest of your life. An HSA rollover is when you move money from one HSA provider to another. There are a few different ways to move an existing HSA to an HSA at a new company.
Consumer-Driven Health Care
Build Health Costs Into Your Financial Plan Now
A new survey of business executives finds nearly 90% assert that the cost of providing health care coverage will be "unsustainable" in the next five to 10 years. As a way to contain their costs, employers increasingly offer HDHPs. A way to counteract the higher deductible is for employees to set aside money in an HSA that offers valuable tax breaks.