8 Advantages Of Health Savings Account

​If you’re among the individuals who get coverage through a high deductible plan, then HSA is for you. A Health Savings Account is similar to a personal savings account and can pay for medical expenses. With this, you can save a lot on out-of-pocket expenses when you need medical assistance. So, you might be wondering what the advantages of HSA are?

1. A Lot Of Health Expenses Qualify
   The first advantage that HSA can offer is covering a wide range of medical expenses. You'll be eligible for these types of expenses coverage from medical, dental, and mental health services. 
   
   
2. Others Can Contribute
   Secondly, other people can add contributions to your HSA. These individuals can be your employer, relative, or someone you’ve added. However, the IRS has set the limit, so make sure to check your options.
   
   
3. Other Pre-Tax Contributions
   Ideally, you will contribute with pretax dollars deducted from your employer's payroll. In effect, your gross income will not be taxable.
   
   
4. After-Tax Contributions
   One of its many benefits is reducing your tax bill in a year. How? You can make contributions with the tax-after dollars then deduct them from your gross income. 
   
   
5. Non-Taxable Withdrawals
   Another thing is your withdrawals won’t be subject to federal taxes on the condition that they will be used for medical expenses. Also, HSAs can be an investment account because it allows you to buy stocks. 
   
   
6. Earnings Are Tax-Free
   Most HSA accounts have tax-free earnings and have less than a 0.1% interest rate.
   
   
7. Transferability
   Your HSA account can maintain the money and be available anytime in the future should you need it. Even though your health status changes, you move to another job or retire, it won’t be a problem.
   
   
8. Accessibility
   Lastly, HSAs can give your debit cards allowing you to pay for prescriptions, drugs, and other fees over the counter. Should you use another method of payment, HSA will reimburse you.

The Bottomline
Health Savings Accounts offer tonnes of pros that can benefit you the most. Notably, most of it is non-taxable and has transferability and easy access. Finally, it can help you save a lot on expenses for your welfare.

At Best Insurance Group, LLC, we aim to provide comprehensive insurance policies that make your life easier. We want to help you get the insurance that fits your needs. You can get more information about our products and services by calling our agency at (970) 674-5000. Get your free quote today by CLICKING HERE. Coverage discussed in this article is not guaranteed. Please contact our agency to go over your existing coverage. We are happy to help you make sure your needs are being met!