HSA News for April 24, 2023
HSA news is compiled weekly by Mr. HSA, Roy Ramthun.
News from Washington
IRS Announces Tax Relief for Victims of Severe Storms, Straight-line Winds and Tornadoes in Indiana
Victims of severe storms, straight-line winds and tornadoes in Indiana from March 31 to April 1, 2023, now have until July 31, 2023, to file various individual and business tax returns and make tax payments, the Internal Revenue Service announced. Among other things, this means that eligible taxpayers will have until July 31 to make 2022 contributions to their IRAs and HSAs.
Congressman Bob Latta Introduces Bill to Expand Access to Health Savings Accounts for Seniors
Congressman Bob Latta (R-OH) has introduced a bill aimed at expanding access to HSAs for seniors. The bill would remove the current technicality prohibiting individuals who are receiving Social Security benefits and automatically enrolled in Medicare Part A to continue contributing to their HSAs.
Senate Legislation Would Cap Insulin at $35 per Month for People with Private Insurance
Bipartisan Senate legislation introduced this week by Sens. Jeanne Shaheen (D-NH) and Susan Collins (R-ME) would cap the price of insulin at $35 per month for people with private insurance.
The bill comes two months after President Joe Biden called on Congress to extend the insulin price cap to the millions of people living with diabetes who have private insurance.
HHS Finalizes Notice of Benefit and Payment Parameters for 2024
The Department of Health & Human Services (HHS) released their Notice of Benefit and Payment Parameters for 2024 final rule which eliminated the non-expanded bronze metal level standardized plan option and will limit plan offerings to four non-standardized plans per metal level and network type for 2024. HHS will reduce this to two non-standardized plans in 2025.
HSA Compliance Corner
How Does a Recent Court Decision Affect HSAs?
All services except select preventive care (as defined by the IRS, which includes all services that are mandated by the ACA) must be applied to the deductible on HSA-qualified plans. The recent Tri-Agency guidance makes clear that plans that continue to provide full coverage for services graded "A" or "B" by the USPSTF will remain HSA-qualified.
HSA Best Practices
How Employers Select HSA Providers
Employers across disparate businesses evaluate HSA providers on the ease of use for employees, the cost, the quality of the technology, available investment options and performance of the investment options. Although it depends on what you want to offer your employees, account holders need to be able to understand where their money is and how they can get to it.
Devenir Best Practices: HSA Investments Menu Design
Devenir has released a white paper exploring best practices for HSA investment menu design. HSA investing is commonly featured as a promising tool for improving health and wealth outcomes. Devenir leverages its HSA research and experience in creating cutting-edge HSA investment solutions to identify key considerations for HSA menu design.
The HSA Market
Is Medicare the Next Frontier for Health Savings Accounts?
Extending the benefits of HSAs to some of or all the 65 million Americans on Medicare would help them manage their out-of-pocket expenses, increase compliance with ongoing treatment regimens, and give them a little more breathing room with their largely fixed incomes. It's a concept that appeals to seniors, their advocates, insurers, and HSA administrators.
83% of Consumers Are Interested in Health Savings Accounts for Non-HDHPs
More than eight in ten consumers would be interested in an account like an HSA but able to be attached to plans other than high deductible health plans, according to a survey from Employee Benefit Research Institute. Specifically, 55 percent were extremely interested or very interested. HDHP enrollees had higher rates of interest and enthusiasm about the new plan.
HSAs & Retirement
Health Savings Accounts: The Best “Roth” Ever?
We’re very fortunate that lawmakers created HSAs. Though they aren’t technically a retirement account, in some ways they’re better than even the venerable Roth IRA itself. HSAs incorporate some of the best features of both traditional and Roth accounts. Here’s why they’re referred to as “triple tax-free.”
3 HSA Benefits You Don't Want to Miss Out on in Retirement
Health Savings Accounts are a great place to stash cash for an upcoming medical procedure or for emergencies. But that's just scratching the surface of what these accounts can do. They also make great homes for your retirement savings. Here are three benefits you can look forward to if you hold your HSA savings for the long term.
80% of Older Americans Cannot Afford a Financial Emergency
As financial stress from market uncertainty takes a toll on Americans, a new analysis shows how unprepared many are for a financial emergency. The survey found that 80% of Americans aged 60 and older cannot sustain a financial shock such as needing to pay for long-term care services and supports or the loss of income due to divorce or widowhood.
Maximizing Your HSA
3 Ways an HSA Account Can Help With Care for Adult Dependents
If there are adults in your life you're caring for, you know the financial burden that can come along with this responsibility. The good news is, you may be able to use money in an HSA to help alleviate some of your costs. Here are three key ways that this account could help you to better provide for your loved ones.
6 Funds to Add to Your HSA
HSAs can be used to augment traditional retirement accounts, especially for those in good health. Like any other retirement account, HSAs can hold a variety of assets, and investors can then pick and choose among the available options in their plan to create the optimal portfolio for their HSA. Here's a look at six of the best funds to add to an HSA.
Consumer-Driven Healthcare
Insurers Say Free Preventive Care Will Continue While Lawsuit Is Appealed
The majority of health insurers in the country do not anticipate ending free preventive services while a lawsuit challenging Obamacare’s requirement plays out in court, according to a joint letter industry groups sent to Democrats on key House and Senate health committees who requested information from a dozen major health insurance companies and trade groups.
No Surprises Act Largely Successful in Protecting Consumers Though Gaps Remain, Stakeholders Say
The federal No Surprises Act appears to be effectively protecting patients from the most frequent sources of unexpected medical bills, though several coverage gaps such as those relating to ground ambulance services are still leaving some patients with hefty bills, according to a new report.