HSA Explained: How a Health Savings Account Works and Who Qualifies

A health savings account, or HSA, is the only account that gives you a tax break in three separate ways: contributions go in pre-tax, the money grows tax-free, and withdrawals for qualified medical expenses come out tax-free too. In this episode, Ryan answers a listener question from Sander and breaks down exactly how HSAs work, who is eligible (you need a high-deductible health plan), and what counts as a qualified expense.He also covers two features that make HSAs stand out from other benefit accounts: the money is member-owned, so it travels with you if you change jobs, and the balance rolls over year to year with no deadline to spend it. After age 65, an HSA can even act like a traditional retirement account for non-medical expenses. HSA rules and limits change; confirm your eligibility and contribution limits with your benefits administrator or CPA.Find "Your Fiscal Physical" the book on AmazonIf you have suggestions or feedback, please email us at: [email protected], as always, Stay the Course!