Health Savings Account (HSA) Archives

Higher Limits for HSA Contributions and Deductibles in 2015

The Internal Revenue Service announced higher limits for 2015 on contributions to health savings accounts (HSAs) and for out-of-pocket spending under high-deductible health plans (HDHPs) linked to them.

In Revenue Procedure 2014-30, issued April 24, 2014, the IRS provided the inflation-adjusted HSA contribution and HDHP minimum deductible and out-of-pocket limits, effective for calendar year 2015. The higher rates reflect a cost-of-living adjustment and rounding rules under Internal Revenue Code Section 223.

To view a comparison of the 2015 and 2014 limits, read the full article here.

Contact Steven G. Cosby, MHSA with questions or to request more information and to schedule a healthcare plan evaluation, savings analysis or group plan solution for your company.

High Health Plan Deductibles Weigh Down More Employees

Anita Maina was working on an arts and crafts project she found on Pinterest — creating a table out of wood and cork — when she ripped off a fingernail while removing staples from a piece of wood.

“It is one of those things that really hurt, and I thought I should go to urgent care,” said Ms. Maina, 27.

But she ultimately skipped the visit since she had not met the $6,000 deductible on her health plan, and she knew she probably did not have much left in her health savings account, a type of tax-advantaged savings vehicle that is often used with high-deductible plans to help defray out-of-pocket costs.

Read the full article here.

Contact Steven G. Cosby, MHSA with questions or to request more information and to schedule a healthcare plan evaluation, savings analysis or group plan solution for your company.

$1 Million in Your HSA Account?

Health savings accounts could help generate huge sums to offset health care costs in retirement, at least for some Americans, according to the Employee Benefits Research Institute.

Contributing the maximum amount to an HSA for 40 years, without withdrawing savings, would accumulate $360,000 at a rate of return of 2.5 percent, $600,000 at 5 percent, and almost $1.1 million at 7.5 percent, according to an EBRI analysis.

The potential savings HSAs could generate are assumed under best-case-scenario circumstances.

Of course, “many individuals may not have the means to both save in an HSA and pay their out-of-pocket health care expenses,” said Paul Fronstin, director of EBRI’s Health Research and Education Program and author of the report on HSAs.

Read the full article here.

Contact Steven Cosby with questions or to request more information and to schedule a healthcare plan evaluation, savings analysis or group plan solution for your company.

AHIP: Health Savings Accounts on the Rise

Insurance plans that include health savings accounts (HSA) continue to rise in popularity, the trade group for health insurers reported Wednesday.

The number of people enrolled in HSA-eligible plans hit almost 17.4 million early this year, a nearly 12 percent increase since 2013, according to America’s Health Insurance Plans (AHIP).

AHIP conducts a regular census to measure the adoption of HSA-eligible plans, a medical coverage model that Congress first authorized in 2004.

The option provides consumers with a tax-advantaged medical savings account to cover healthcare expenses, usually alongside a high-deductible insurance plan.

Republicans strongly support HSAs, arguing the model is market-friendly and encourages consumers to consider their medical expenses more closely.

Read the full article here.

Contact Steven Cosby with questions or to request more information and to schedule a healthcare plan evaluation, savings analysis or group plan solution for your company.

Sales of This Health Plan will Quadruple in 6 Years

Health insurance agents and brokers struggling to find their footing post-health reform may want to look to health savings accounts (HSAs).

According to the Institute for HealthCare Consumerism, Consumerdriven and HSA Consulting Services, sales of HSAs are expected to quadruple in the next six years, with roughly 50 million Americans covered by qualified HSAs by 2019. Currently, just 11 million Americans have a health savings account.

Researchers put the increase in interest down to provisions in the Affordable Care Act creating public exchanges, and spurring the creation of private ones.

Read the full report here.

Contact Steven Cosby with questions or to request more information and to schedule a healthcare plan evaluation, savings analysis or group plan solution for your company.

Tag: Health Savings Account (HSA)

Higher Limits for HSA Contributions and Deductibles in 2015

High Health Plan Deductibles Weigh Down More Employees

$1 Million in Your HSA Account?

AHIP: Health Savings Accounts on the Rise

Sales of This Health Plan will Quadruple in 6 Years

Contact Steven Cosby

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