HSA News for July 29, 2024
HSA news is compiled weekly by Mr. HSA, Roy Ramthun.
News from Washington
Judge Stays DOL’s Retirement Security Rule
On July 25, a federal judge in Texas stayed the U.S. Department of Labor’s Retirement Security Rule ahead of its September 23 effective date. The judge granted a request for a preliminary injunction blocking the rule “until further order of the court.” The judge made clear the scope of relief is national and not limited to “the parties before the court.”
HSA Studies & Analysis
Survey: More Than 61 million Americans Covered by Health Savings Accounts
More than 37 million Health Savings Accounts existed at the end of 2023, providing coverage to more than 61 million Americans, according to a new survey by Devenir and the American Bankers Association’s HSA Council. The survey found that millennials continue to be major users of HSAs, with 30% of accounts held by people in their 30s.
2023 Devenir & HSA Council Demographic Survey
Additional findings from the survey include that accountholders aged 55+ had accumulated over $52 billion in their HSAs at the end of 2023, a 20% increase from the previous year. Also 68% of health savings accountholders live in a zip code with a median household income of less than $100,000.
Compliance Corner
Do Employers Have Flexibility in Determining the Timing of Contributions to Workers' HSAs?
We want to give our employees a company contribution to their HSAs. Do we have the flexibility to determine the timing? Yes. You’re not tied to a specific schedule, so you don’t have to make a lump-sum contribution or level contributions throughout the year. You can decide before the beginning of the plan year when and how much to contribute.
Best Practices
How Total-Replacement HSA Companies Can Help Their Medicare-Enrolled Employees
Companies that consolidate their medical plans into a single HSA-qualified offering must consider the effect of this change on their employees age 65 and older. Some of them may not be able to take full advantage of the HSA opportunity that their younger coworkers can access because HSAs and Medicare don't mix. Here's what companies can do.
HSAs & Retirement
Planning to Enroll in Medicare in the Next Year? Here Are 3 Important Things Retirees Should Know.
Medicare eligibility begins at age 65. But you don't have to sign up at that point if you don't need coverage. But if you're enrolling in Medicare after age 65 and you're currently contributing to an HSA, you may want to stop doing so as soon as possible. Once you're signed up for Medicare, you're barred from funding an HSA.
Facing Delayed Retirement, Many Americans Wish They Had Started Saving Sooner
Two separate research reports recently released by retirement solutions providers share a theme in retirement for Americans: Many people wish they had started saving sooner, and a majority of those in or near retirement (68%) say they will need to delay retirement because they do not have enough saved.
Healthcare Costs To Work Into Your Retirement Budget
If you’re gearing up for retirement, don’t forget to factor in healthcare costs. According to Fidelity, the cost of health care will be one of your largest expenses after housing and transportation. Here are some healthcare costs to work into your retirement budget to avoid coming up short.
Consumer-Driven Health Care
Humana’s CenterWell to Open 23 Primary Care Clinics at Walmart Stores
Humana will lease clinical space and open 23 senior-focused primary care clinics at Walmart Supercenter stores in Florida, Georgia, Missouri and Texas no later than the first half of 2025. The new clinics come as Humana works to expand its senior primary care network while Walmart recently shuttered its health centers and virtual care business.