Group LTC Benefits Blog

7 things employers and employees don't know about HSAs

HSA_EBA

Health Savings Accounts continue to gain popularity as a health coverage/savings option for employers and their employees. Yet, there are still some common misconceptions and a lack of awareness surrounding some HSA features and benefits.

1. After age 65, you can withdraw money from your HSA for any type of purchase (not just medical expenses) without penalty – similar to a traditional IRA.

2. You can invest your HSA dollars.

3. You can use HSA dollars to pay for things that aren’t covered by your insurance plan, such as acupuncture, dental, vision, chiropractic fees, travel costs (for medical care) and certain operations such as Lasik eye surgery. And to pay long-term care insurance premiums.  

4. You can make tax-deductible contributions to an HSA until April 15 (tax deadline) for the previous year.

5. You can pay now, cash in later. HSA members can hold onto their qualified healthcare expense receipts, and cash them in for a tax-free payout any time in the future.

6. If you don’t use it, you won’t lose it (as is the case with many FSAs).

7. You can take HSA dollars with you when you leave your job.

Genworth created a fantastic summary to keep advisors and brokers aware of the HSA opportunity, “Helping a Client Use an HSA to Pay Long Term Care Insurance Premiums.”

Download Summary

 

Source: EBA Benefit News, 7/2/2015
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Topics: Employee Benefits

Written by Trina Brown

Trina Brown is a business development lead for employee and executive long-term care solutions at LTCI Partners, LLC, one of the nation’s largest Long-Term Care Insurance (LTCI) retail and wholesale brokerage enterprises. Trina graduated from Florida State University, where she received a BS in International Finance. After graduation, Trina remained countryside and accepted a position to launch Capital Administrative Services, Inc. (CAS), a new third party administrator for employee benefits out of Tallahassee, Florida, and served as Executive Director and Board Vice President until 2012. During Trina’s tenure with CAS she procured voluntary benefits for over 110,000 state employees and helped secure CAS as a leader for employee benefits and individual life insurance planning in the State of Florida. Trina’s determination to enhance the awareness for long-term care planning resulted from her dual role where she served as Director of Long-Term Care for Capital’s sales agency and worked in tandem with Capital’s Regional Vice President’s to develop and implement retail product and sales training for agents. Now for over a decade, Trina has had the pleasure of helping brokers, advisors and consumers find a long-term care solution and she understands the challenges in starting a dialogue about this type of planning. Whether serving consumers directly, or supporting professionals who do, Trina is committed to providing LTC awareness and peace of mind so that more Americans have a plan in place to protect their family’s well-being, retirement income and comfortable lifestyle in those “Golden Years.” Trina is a member of the National Association of Insurance and Financial Advisors (NAIFA) and shares the passion to protect the business of insurance and financial services. Trina served as former President Elect of the NAIFA Tallahassee and current First Vice President and Membership Chair for NAIFA Chicago, where she also lives downtown in the River North area.

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