Management Tips

There are a number of ways to manage your HSA account and disbursements (or payments). These strategies may have certain benefits and risks that may or may not be advisable given your health history and/or financial situation. Please consult your tax or financial advisor as needed.

Funding Options

Make regular monthly contributions to the HSA account, the same way you make premium payments on health insurance.
If you have not deposited the maximum contribution in a given plan year, use the funding grace period of the first quarter to consider if you should.
Build HSA balance to a level of exposure that you are comfortable with, and fund on as-needed basis.

Withdrawing Options
*Keep good records of all qualified-expense withdrawals

Withdraw funds as available and as needed for any qualified expenses
Initially, Use for only health insurance-covered items. Postpone using your HSA for any non-insurance plan covered services until you see if you are going to meet your deductible. Towards the end of the year, once you have an idea what your need for the deductible will be, you may decide to either obtain additional services or reimburse yourself for non health-insurance covered services.
Build for retirement" The HSA does not have to be to pay for any medical expenses, and can be left untouched as another retirement savings and/or investment account. While this is not the general intent of the MSA, it is an option that may or may not make sense given other tax and investment strategies. This precludes paying for all eligible HSA expenses with pre-tax dollars.

Again, all of these strategies should be carefully considered in light of their cash flow, tax, and investment options. This information is no substitute for professional consultation.

Management Tips

General

Tax Advantages

Contributions

Medical Expenses

Coordinating Benefits

Comparing Other Consumer Driven Health Plans

Background

Researching Options

Cost Saving Strategies

Organizational Tips

Spreading the News

Promoting HSAs

Links