Smart Ways To Save: Consumer Driven Health Plans (CDHP) with Health Savings Accounts (HSAs)

HSAs are tax-favored savings accounts designed to be used in tandem with high deductible health insurance plans. These accounts serve multiple purposes:

Use your HSA dollars to cover your health insurance deductible and other qualified expenses, extending to those not included in your main plan, like dental and vision care—essential for anyone interested in comprehensive Health Care Benefits.

Your contributions are made pre-tax, reducing your taxable income and providing immediate savings.

Your HSA grows tax-free, and there’s no penalty for this growth, making it an efficient way to save for healthcare costs, and is particularly useful for those working in one of the numerous industries that NARFA serves.

Your qualified medical expenses are broad-ranging, from basic healthcare to specific needs covered under Employee Benefits.

Contributions and withdrawals for qualified medical expenses are never taxed.

The money in your HSA is yours to keep until you use it, offering flexibility and security.

Utilize your HSA to cover medical costs for anyone you claim on your taxes.

After age 65, your HSA becomes a convenient vessel for additional retirement savings, permitting withdrawals without penalties for non-medical expenses.

Have you saved a substantial amount in your HSA and contemplating a career switch? Rest easy. Your HSA funds can follow you into your new role, even if it’s in a different sector.

HSAs aren’t just for individual employees. Use these accounts to cover qualified medical expenses for family members you claim as dependents, extending the benefits to your loved ones.

Your HSA isn’t just a healthcare account; it’s a versatile financial tool. After age 65, you can withdraw your HSA funds for any purpose without penalty, adding another layer to your retirement planning, and maximizing your employee benefits.

Switch to an HSA today and take control of your healthcare expenses, while enjoying the various perks and benefits that come with a NARFA membership.