Use Your HSA for Retirement: How and Why

An HSA can help you manage healthcare costs, but it's also a powerful retirement savings tool.

Assuming you're eligible to contribute to an HSA, think twice about using that money for healthcare expenses this year.

As you (and/or your employer) add money to your health savings account, you can accumulate a nice balance. But you don't necessarily need to spend that money every year. By leaving the funds in your account, it can continue to grow tax-protected — and you'll probably need that money when you're older (or for a major health expense at some point in life).

See how and why an HSA can supplement your savings in a 401k, IRA, 403b, or other types of retirement plans. HSAs can potentially have triple tax benefits:
- The money might go in pre-tax (if you contribute funds yourself)
- The money can grow tax-deferred over the years
- You can potentially withdraw funds tax-free (assuming you use the money for "qualified" medical expenses, as determined by the IRS)

🌞 Subscribe to this channel, it's free: https://www.youtube.com/channel/UCFFNzgGX4UyGQk12KL38I1Q?sub_confirmation=1

Most people do not keep the funds in their HSA and invest it for the long-term. That's fine if you need the money for current healthcare expenses. But if you have the luxury of spending from other sources (or you're fortunate enough to have no health issues), consider leaving that money for future needs.

Sure, you'll probably have Medicare when you're older, but that doesn't cover everything. So, extra money in an HSA will almost certainly come in handy.

Chapters:
0:00 Intro
0:10 What Most People Do
0:37 HSA vs. Flexible Spending Account (FSA)
1:28 How to Build Up Your HSA Balance
1:58 Why Don't You Just Spend the Money Now?
2:28 What About Medicare? It Doesn't Cover Everything
3:25 Qualified Medical Expenses
3:54 What if You Save More Than You Need in an HSA?
4:29 Triple Tax Benefits of HSA
5:50 Consider Leaving Money Inside, Even if You Can't Contribute
For more details, see: https://approachfp.com/use-hsas-retirement-savings/
Justin Pritchard, CFP® is a fee-only fiduciary advisor who can work with clients in Colorado and most other states.

IMPORTANT:
It's impossible to cover every detail and topic in a video like this. The only thing that's certain is that you need more information than this. Always consult with a CPA before making decisions or filing a tax return. This is general information and entertainment, and is not created with any knowledge of your circumstances. As a result, you need to speak with your own tax, legal, and financial professional who is familiar with your details. Please verify with your plan administrator when employer plans are involved. This information may have errors or omissions, may be outdated, or may not be applicable to your situation. Investments are not bank guaranteed and may lose money. Opinions expressed are as of the date of the recording and are subject to change. The Comments section contains opinions that are not the opinions of Approach Financial, Inc., and you should view all comments with skepticism. Approach Financial, Inc. is registered as an investment adviser in the state of Colorado and is licensed to do business in any state where registered or otherwise exempt from registration.

Видео Use Your HSA for Retirement: How and Why канала Justin Pritchard, CFP® on Retirement Planning