Author Topic: Health Ins Options - WWYD?  (Read 632 times)

therethere

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Health Ins Options - WWYD?
« on: April 26, 2018, 08:41:18 AM »
DH got a new job so its time to rethink health plans. We're both "healthy" (haven't been to doctor's in years so it's debatable but no current conditions or medications) and in our mid-30's. We are in the 25% tax bracket and well above the phaseout of a deductible traditional IRA. ~40k in HSA already. No need for increased monthly cash flow. No kids planned.

Option 1: Stay on HDHP family plan for HSA contributions. Pay $100/month spousal surcharge. Total monthly premiums: $210 (including surcharge). $6850 to HSA.

Option 2: Switch to single HDHP and single HMO. Lower risk for DH on out of pocket costs but nothing planned. Total premiums $90/mo. $3450 to HSA.

Should I keep the family HDHP so I can keep maxing out an HSA? Or should I accept the lower limit for a lower risk for DH? The pre-tax HSA and continued snowballing earnings is what's tempting me to stay on the HDHP...It seems like a toss up but that's based on assuming current use of health plan (which is nothing)

slappy

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Re: Health Ins Options - WWYD?
« Reply #1 on: April 26, 2018, 08:54:30 AM »
If he switches to a single plan, how will you be insured?

therethere

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Re: Health Ins Options - WWYD?
« Reply #2 on: April 26, 2018, 09:06:00 AM »
I'd be single on my HDHP and DH would be single on an HMO.

MDM

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Re: Health Ins Options - WWYD?
« Reply #3 on: April 26, 2018, 01:39:38 PM »
Might be worth putting your numbers into a couple of comparison tools, e.g., Health Savings Account (HSA) vs. Traditional Health Plan and the 'HDHP Analysis' tab of the case study spreadsheet.

therethere

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Re: Health Ins Options - WWYD?
« Reply #4 on: April 26, 2018, 02:14:52 PM »

I think what's stumping me is that we'd basically be paying $100 more a month, for worse insurance, just for the ability to stash more tax-free in the HSA. Sounds dumb when you put it that way. The new job has no 401k either so its tough to stomach the immediate loss of 20k of tax free space. After stewing on it I'm leaning towards the splitting into individual HDHP/HMO plans.

Thanks for that website! So easy.

civil4life

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Re: Health Ins Options - WWYD?
« Reply #5 on: April 27, 2018, 02:55:11 PM »
Does the employer offer an FSA?

Are you able to go on the new HMO plan too? 

MMM Community talks up the HSA plans which are great, but so it having decent health care.  Even something simple like a broken leg would probably have you break even with the spending account. 

Personally, I like the security of a good Health Insurance plan but I have multiple health issues.

therethere

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Re: Health Ins Options - WWYD?
« Reply #6 on: April 27, 2018, 03:18:07 PM »
Unfortunately, the cost for me to go on the HMO jumps to like $500 a month. So that's a no go. We've been blessed with no medical issues the past few years and as a result have a healthy HSA account of around 40k. That covers a few years of maximum out of pocket expenses if I run into any health issues.

They actually got rid of individual deductibles on my HDHP this year and went to total family deductibles of 5k before the insurance covers anything. So actually, going on separate plans will further lower my potential deductible and max out of pocket expenses on my HDHP to the individual limit. I suppose that is another reason to go on separate plans as my potential liability effectively drops in half.