How to use HSA to fund your retirement
In this post, we will talk about what HSA is, the benefits of using HSA and how you can use it to fund your retirement. Summary What is HSA? The benefits of using HSA How to use HSA to fund your retirement Other options What is HSA? HSA is a health saving account. You can use it for medical expenses with some high deductible health plans in the US. You can also use HSA for non-medical expenses before age 65, however, you will need to pay a 20% penalty plu tax if you do so. However, after age 65, you will be able to use money in your HSA account for non-medical expenses without any penalty. The benefits of using HSA The main benefits of HSA is due to its tax treatment. HSA is: Pre-tax when you are contribution to it, meaning that you are not paying tax for the money you contributed to it; Growth is tax free, meaning that you don’t need to pay tax for the growth of the funds; Tax-free when you withdraw it. How to use HSA to fund your retirement HSA is a great way for you to lower income