HSA News for January 13, 2025
HSA news is compiled weekly by Mr. HSA, Roy Ramthun.
News from Washington
IRS: California Wildfire Victims Qualify for Tax Relief; Various Deadlines Postponed to October 15
The IRS announced tax relief for individuals and businesses in southern California affected by wildfires and straight-line winds that began on January 7, 2025. These taxpayers now have until October 15, 2025, to file various federal individual and business tax returns, make tax payments, and make 2024 contributions to their IRAs and HSAs.
Supreme Court Agrees to Hear Challenge to Obamacare’s Preventive Care Coverage
The Supreme Court agreed to hear a broad challenge to the Affordable Care Act’s coverage of preventive services in its upcoming term, the latest in more than a decade of battles over the health reform law. The lawsuit takes aim at the panels of experts that advise HHS on which services must be covered without cost-sharing.
CFPB Finalizes Rule to Remove Medical Bills from Credit Reports
The Consumer Financial Protection Bureau finalized a rule that will remove an estimated $49 billion in medical bills from the credit reports of about 15 million Americans. The CFPB’s action will ban the inclusion of medical bills on credit reports used by lenders and prohibit lenders from using medical information in their lending decisions. The rule will be effective 60 days after publication in the Federal Register.
House Bill Would Expand Caregivers' Access to HSA and FSA Cash
Rep. Vern Buchanan (R-FL) and Rep. Mike Thompson (D-CA) have reintroduced a bipartisan bill in the U.S. House that would let people with HSAs or FSAs use their funds to pay for medical care for parents or other loved ones who are not their dependents. Under current law, tax-free distributions can only be used to pay for care for dependents.
Compliance Corner
The Telemedicine Safe Harbor Has Expired. What Now for HSA-Qualified Medical Plans?
Covering telemedicine pre-deductible is generally a popular benefit, especially for HSA-qualified plans. Unfortunately, the extension of telehealth services below the deductible didn't survive the end of year battle in Congress over funding the federal government. So, now what?
Industry News
Lively Reports 35% Surge in HSA Balances
Lively, Inc. released its 2025 HSA Outlook report which found Lively HSA account balances were 35% higher than the industry average on January 1. The average balance of Lively’s HSA accounts, including unfunded accounts, was $4,923, compared to the industry average of $3,639 as reported by Devenir’s 2024 mid-year report.
Maximizing Your HSA
HSA Tips That Pay Off: 5 Ways to Optimize Your Account
With healthcare costs rising, having an HSA can be a game-changer for immediate medical expenses and long-term savings. Leveraging your HSA wisely can help you tackle those costs while saving money today. Whether new to HSAs or looking to get more from your account, these strategies can maximize your savings and minimize out-of-pocket healthcare costs.
12 Surprising Ways to Maximize Your HSA Benefits
Your Health Savings Account isn’t just for doctor visits and prescriptions. This versatile tool can help you save money, plan for the future, and even handle unexpected expenses. Here are 12 creative ways to use your HSA that you might not know about.