My mind is blown with learning about these tax savings! I provide a comprehensive explanation of the Health Savings Account (HSA), Flexible Spending Account (FSA), and Health Reimbursement Arrangement (HRA). Whether you are self-funding these accounts/plans or your employer is helping to contribute, there could be some major tax benefits that you’ll want to take advantage of if any of these are the right kinds of tools for your health and family.
These tax-advantaged savings or spending accounts can be employer-sponsored but are not always, but good news is a person can open their own HSA account if they qualify for a High Deductible Health Plan (HDHP) in their healthcare insurance coverage. Compare and shop around for the best HSA account for you by visiting: https://www.hsasearch.com.
I like ones that charge zero fees and allow you to invest in a variety of assets such as stocks, index funds, and more. Many HSA vendors even give you a debit card that can be used for the qualified medical expenses!
I also share what I personally do to maximize one of these tax-advantaged accounts in order to optimize my investment portfolio. Hint: It’s an HSA. The most amazing thing is that an HSA is considered triple-tax advantaged with tax-free 1) contributions (pre-tax or post-tax), 2) qualified medical expense withdrawals, and 3) investment growth! I look forward to especially reaping the rewards of the HSA during retirement!
I’m excited to be on a path to FIRE (Financial Independence, Retire Early), and I look forward to making more investor friends.
Visit my Instagram @ michellemarki! 🙂