A health savings account (HSA) is a flexible financial tool that serves you throughout every stage of your life. This account allows you to take control over your finances in a way individually tailored to your financial situation. The HSA market is rapidly evolving and growing with each passing year and UMB Healthcare Services currently manages 1.4 million HSAs. According to the 2022 Midyear Devenir HSA Research Report, Devenir projects that the HSA market will reach 39 million accounts by the end of 2024, holding $142 billion in assets. Now is the time for you to learn about the benefits of being an HSA accountholder and how it can improve your financial well-being.
Understand the basics of HSAs
There are many benefits of having an HSA and in order to get the most out of your account it is important to familiarize yourself with each. An HSA is an individually owned, tax-advantaged account that may be used to pay for qualified medical expenses or to save for retirement and long-term care expenses. In 2023, the maximum contribution amount for HSAs is $3,850 for individuals and $7,750 for family coverage. If you are 55 or older, you can also contribute an extra $1,000 at the end of the year.
