HSA News for October 16, 2023
HSA news is compiled by Mr. HSA, Roy Ramthun.
News from Washington
Ways and Means Eyes HSA Package
House Ways and Means Committee Republicans look to move to the House floor a package of bills the panel approved earlier this year to boost HSAs. The committee aims to combine the four bills it approved in June and September into one bill so the plans are more enticing for consumers. The updated package has good odds of passing the Republican-controlled House but could face longer ones in the Democrat-controlled Senate.
HSA Studies & Analysis
HSAs at 20 Years: Have They Made a Difference?
Sunday, October 15, is "HSA Day." Its purpose is to shine a spotlight on the financial advantages that Health Savings Accounts offer hard-working American families. HSAs present Americans with a potential opportunity to increase the spending power of their medical dollars. Many don't seize this opportunity, but some of the barriers can be removed by better education.
HSA Deposit Rate Update – September 2023
Looking at HSA deposit rates at the end of Q3 2023, we see that the upward trend observed earlier in the year has continued. As of September 30th, HSA providers are paying an average rate of 0.34% at the $1,000 balance threshold, an increase of 7 basis points from May 2023.
HSA Compliance Corner
Be Careful What You Offer in Your 2024 Benefits Package
Designing the optimal benefits package for employees is difficult. Federal tax law increases the degree of difficulty for employers who offer a Health Saving Account program. Be sure that you don't inadvertently disqualify any workers because of the design of a single program designed to help employees.
HSA Best Practices
HSA vs FSA: Help Employees Find the Best Fit During Open Enrollment
As record-high inflation continues, solutions that support physical and financial wellbeing for employees are more important than ever. The good news is, you already have two essential solutions in your toolbox: FSAs and HSAs. Here are four things employees need to understand to better assess and select the account type that best fits their needs.
Market Trends
This HSA Trend Is Super Encouraging
During the second quarter of 2023, almost 40% of HSA holders contributed more to their plans than they withdrew, reports Bank of America. And that's a very positive trend. It's a good thing to have more money going into your account than coming out. In fact, if you're able to avoid taking HSA withdrawals during your working years, you can benefit from an HSA the most.
HSAs & Retirement
3 Things to Tell Your Employees Who Are Ready to Retire About Their HSAs
Late-career-stage employees think a lot about their plans for retirement and wonder if they are financially equipped to realize those plans. Employers can play an important role in helping to educate employees about their options, particularly as it relates to their HSAs. It’s important to consider the unique needs of the pre-retiree population as retirement age draws near.
Maximizing Your HSA
How to Take Advantage of a Health Savings Account
Health Savings Accounts offer valuable tax benefits. If your health plan is eligible, it makes sense to consider funding an HSA, experts say. Whether you save over time or spend your contributions on current costs, you’ll end up with a lower tax bill than if you simply paid for the care out of pocket. Here are some questions and answers about HSAs.