As our country fights through a global pandemic, many of your members may be trying to determine the best way to save for their current health care expenses and for any future expenses that may occur. Health savings accounts (HSAs) continue to be a great way to offset the rising costs of healthcare. HSAs are IRA-like accounts that are tax-favored and designed to cover medical expenses incurred by the HSA owner, the HSA owner’s spouse, and their dependents. So—how can HSAs help your members?
Another Way to Save
Healthcare costs are a major concern for Americans, with 46 percent reporting in a survey conducted by Lively that they have not gone to the doctor because of the associated costs. Lively also reported that only 60 percent of people have enough money saved to cover a medical emergency.
Heightened awareness for staggering healthcare costs and the increasing popularity of high deductible health plans (HDHPs) have driven HSA enrollment to new highs. In addition, HSA owners have continued to see their balances increase. According to a Devenir study, as of June 30, 2021, there were over 31 million HSAs with a combined $92.9 billion in assets.
continue reading »