HSA News for October 9, 2023
HSA news is compiled weekly by Mr. HSA, Roy Ramthun.
News from Washington
Court Strikes Down HHS Rule Allowing Insurers to Exclude Co-Pay Assistance
A federal judge has struck down a Trump administration rule that allowed health insurers to exclude drug manufacturer co-pay assistance towards a beneficiary's out-of-pocket costs. The court ruling means that insurers are now precluded by federal regulation from implementing co-pay accumulator programs for drugs that lack generic equivalents.
Biden Administration Looking to Expand Coverage of OTC Birth Control, Other Products
The Biden administration is asking for public comment on whether to require most health insurance plans to cover a range of over-the-counter preventive products, including contraception, for free. The Affordable Care Act requires insurers to cover preventive services, including specific types of birth control, but only if they are prescribed. Insurers usually don’t cover OTC products.
HSA Studies & Analysis
Working Consumers Oblivious to HSA Benefits
A new thought leadership paper from Voya reports that a prominent number of consumers are not fully optimizing usage of their HSAs. According to the report, just 27% of respondents grasp that HSAs can be used as investment vehicles, and only 35% understand the primary reason for HSAs: to invest money for healthcare expenses throughout retirement.
HSA Compliance Corner
Can My Spouse Disqualify Me? Sometimes. Especially If . . .
HSA eligibility is determined person-by-person, and one family member's being disqualified doesn't affect anyone else in the family. But sometimes the other family member's coverage disqualifies the HSA owner from funding his or her account. Let's look at some common disqualifying plans that cover other family members to see how they affect others in the family.
Should You Consider Executing an IRA-to-HSA Rollover?
Federal tax law allows a one-time rollover from an IRA to a Health Savings Account. It's an option worth evaluating, but it may not be for everyone. Be sure to assess your situation accurately to determine whether it's the right move for you and, if so, when to do so.
HSAs & Retirement
Do You Really Know What Your HSA Can Do for You?
HSAs can be a great solution to help cover eligible out-of-pocket medical costs. However, while the interest is high, the reality is that many individuals may not fully understand all that HSAs have to offer — especially when it comes to saving for their future, too. As we enter open enrollment season, now presents a great time to make sure you really understand how your HSA can benefit you both today and in the future. Here are a few things to keep in mind.
Americans Underestimate Health Care Costs’ Impact on Retirement Decisions
Many Americans underestimate the impact of health care costs and the challenges on their retirement savings, according to new research. The issue is particularly important as the U.S. reaches Peak 65 next year, when the country will have its greatest number in history of people turning 65. HSAs are one key to prepare for unexpected health costs and retirement planning.
Could an HSA and Medicare Mashup be in Your Financial Future?
A mashup that you might find attractive from a financial perspective is using an HSA to pay for future Medicare expenses. Maxing out your HSA contribution each year could result in a very large HSA balance at the end of your career. And here is another reason to consider doing so. The HSA funds can be used to pay your future Medicare premiums.
3 Lesser-Known Medicare Rules Everyone Should Be Aware Of
Medicare is an important health insurance program that covers millions of seniors today. But it's important to understand how the program works ahead of retirement. Here are some rules that may not be so obvious but are essential to be aware of. For example, once you're on Medicare -- even if it's just Part A -- HSA contributions are off the table.
Maximizing Your HSA
Turbocharged Health and Wealth: Leverage HSAs in 2024 as Contribution Ceiling Lifts
Health Savings Accounts present a unique investing opportunity for Americans. However, too many people pass them over. Many do not take full advantage of what HSAs can really do to both guarantee medical emergency payments and prepare for retirement prosperity. The ideal HSA strategy combines both of these priorities.
3 HSA Mistakes Savers Should Avoid at All Costs
It's easy to make the argument that the Health Savings Account is the best savings plan out there. The reason? It offers more tax breaks than any other account. But if you're going to save in an HSA, it's important to manage your account wisely. And that means steering clear of these major blunders.
COVID-19 Is Costing Americans Thousands. Here's How Your HSA Can Cover the Costs
Here comes yet another COVID-19 winter -- are you prepared? COVID-19 has (and continues to have) an impact on our daily lives. But if you're concerned about medical expenses and you qualify for a Health Savings Account, I have some good news for you: Your HSA can help you cover these costs.