HSA News for April 21, 2025
HSA news is compiled by Mr. HSA, Roy Ramthun
News from Washington
Lawmakers: IRS Should Expand Chronic Disease Treatment Options Under HSA-Qualified Plans
Three House lawmakers, including Ways & Means Committee Chair Jason Smith (R-MO), recently asked the IRS to update Notice 2019-45 and expand the list of preventive care services and treatments for people with chronic diseases covered under employer-sponsored high-deductible health plans.
Supreme Court to Hear Arguments Over Preventive Care Task Force
The Supreme Court is set to hear oral arguments April 21 about the legality of the process to mandate cost-free preventive care used by millions of Americans. Experts said the justices, depending on how they decide the case, could end cost-free preventive care such as cancer screenings and imperil how the law handles vaccine policy and health care for children.
IRS: All of Tennessee Qualifies for Disaster Tax Relief; Various Deadlines Postponed to November 3
The IRS announced tax relief for individuals and businesses in the entire state of Tennessee affected by severe storms, straight-line winds, tornadoes and flooding that began on April 2, 2025. These taxpayers now have until November 3, 2025, to file various federal individual and business tax returns, make tax payments, and make 2024 contributions to IRAs and HSAs.
IRS: All of Arkansas Qualifies for Disaster Tax Relief; Various Deadlines Postponed to November 3
The IRS announced tax relief for individuals and businesses in Arkansas that were affected by severe storms, tornadoes and flooding that began on April 2, 2025. These taxpayers now have until November 3, 2025, to file various federal individual and business tax returns, make tax payments, and make 2024 contributions to IRAs and HSAs.
DOL Gets 60 More Days to Decide Next Steps in Fiduciary Rule Lawsuit
U.S. Circuit Judge Catharina Haynes of the U.S. 5th Circuit Court of Appeals, granted the Department of Labor’s request for another 60 days to consider its next steps in two court cases challenging the department’s 2024 Retirement Security Rule. Haynes' ruling extends the existing abeyance to June 16, 2025.
Compliance Corner
Yes, Your Employer Can Contribute to Your Spouse's HSA. Here Are the Stipulations.
Can my employer contribute to my wife’s HSA account? Perhaps, depending on the design of your company’s HSA program. Any funds that your company provides to your wife’s HSA are taxable income to you. However, here's what you, your wife, and your employer can do to achieve a nearly tax-free contribution.
Best Practices
HSA Spending, Saving and Engagement
Research shows year-over-year employees are increasingly opening HSA accounts. But about 20% of accounts were unfunded in 2022, meaning employees were not enjoying any of the tax benefits the HSA provides. In this podcast, WTW experts tackle the issue of engagement and talk strategy and practical tips so employers can act to help employees maximize the value available to them from these accounts.
HSA Spring Cleaning: Helping Employees Grasp the Value
With the pandemic and higher living costs, financial well-being is a matter that employers are prioritizing to reduce the impacts on employees. In this podcast, WTW experts discuss outcome-focused communication strategies for employers so they can help employees enrolled in an HSA-qualified plan take full advantage of their HSA.
Market Trends
Debt Delaying Retirement for Generation X, Baby Boomers
Debt is widespread among both Generation X and the Baby Boomers, forcing some members of the cohorts to put retirement plans on hold indefinitely, according to multiple recent surveys. With so many still in debt, retirement is not within reach for many of them.
HSAs & Retirement
Move HSA Funds to IRA at Retirement? Oops, Wrong Time and Money Flow!
There is no provision for rolling HSA balances into a retirement account. That said, there is a provision in the federal tax code involving rollovers, HSAs, and IRAs. IIt's not for everyone, as there are costs that may outweigh the benefits. It is, however, a tool at your disposal that may increase the spending power of your retirement savings later in life. Let's examine this opportunity in detail.
Tax Deductions for Seniors: What You Can Claim in 2025
The IRS offers special tax breaks for seniors that can save you thousands as you get older. Many older Americans miss these deductions simply because they don’t know about them. Whether you’re retired, still working, or somewhere in between, these tax advantages can make a big difference in your finances. Understanding these benefits can help you keep more of your hard-earned money in your pocket.
Maximizing Your HSA
HSAs: No Regrets!
In honor of HSA Day, WTW celebrates the many benefits HSAs offer employees throughout their career journey and into retirement. In this podcast, WTW experts reflect on the power of HSAs at this point in their careers and the aspects of this benefit employees may not be aware of.
Your Dental Expense Eligibility for an HSA or FSA
Dental expenses can be a significant financial burden, especially when unexpected dental procedures arise. For those who have HSAs or health care FSAs, there are opportunities to save money on these expenses. We answer a few common dental-related questions as it relates to your HSA or medical FSA.