HSA News for December 16, 2024
HSA news is compiled by Mr. HSA, Roy Ramthun.
News from Washington
Extension of Telehealth Likely as Negotiations Crest in Congress
Lawmakers are in the throes of negotiating an end-of-year legislative deal before the government runs out of funding December 20. The latest healthcare deal includes a two-year extension of Medicare telehealth flexibilities and a one-year extension of pre-deductible coverage of telehealth for HSA-qualified plans.
Compliance Corner
Here's What Happens to the HSA When a Client Dies
It's important to be aware of the tax consequences when a client passes away with HSA assets. Surviving spouses have some flexibility in inheriting HSAs, but the funds will count toward the income of most other inheritors. The result can be a hefty tax bill for the inheritor, one that many don’t expect given the HSA’s general tax benefits.
Market Trends
The Shift Toward High-Deductible Health Plans Continues
Enrollment in high-deductible health plans, including consumer-directed health plans, among people younger than 65 traditionally has been higher among those with directly purchased plans than those with employment-based coverage. However, this may be changing, according to National Health Statistics Reports.
HSAs & Retirement
Trump, Medicare and Your Nest Egg: How to Prepare for Health Care Costs in Retirement
Taking care of your physical health becomes increasingly important as you age. Medicare offers coverage starting at 65, but you may have concerns about the program’s future under the Trump Administration. If you're worried about health care needs and potential changes to Medicare, here's what you need to know.
Maximizing Your HSA
3 Ways a Health Savings Account Can Improve Your Finances
I’ve been using an HSA for several years. An HSA can help you stretch your health care dollars and build your retirement savings at the same time, as long as you’re eligible for one and you spend the money in your HSA on eligible expenses. Here’s a look at the benefits of HSAs and tips for opening one.
Catch-Up Contribution Provision Lifts the Deposit Ceiling for Older HSA Owners
As with retirement plans, HSA participants can make additional deposits once they turn a certain age (55), allowing you to deposit up to $1,000 annually to your HSA. This is in addition to the maximum annual contribution based on your contract type (self-only or family). The figure isn’t indexed for inflation and remains at $1,000.
Consumer-Driven Health Care
Denver Couple Receives Dramatically Different Medical Bills for Same Urgent Care Visit
Andrew Westphal and his new bride were experiencing the same stomach symptoms and decided to go to an urgent care near them. But the real pain began when he received his first bill: $1,888. His wife paid $21 for the same labs. They both have high-deductible plans, and neither has met their deductibles. But their insurance carriers are different.
View of U.S. Healthcare Quality Declines to 24-Year Low
Americans' positive rating of the quality of healthcare in the U.S. is now at its lowest point since 2001, according to a new Gallup poll. Only 44% of U.S. adults say the quality of healthcare is excellent or good, down by 10 percentage points since 2020. Americans rate healthcare coverage in the U.S. even more negatively than they rate quality.