Author Topic: Help with HSA  (Read 1671 times)

Kjmiller1984

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Help with HSA
« on: November 09, 2015, 08:19:57 AM »
It is time to choose insurance plans at my wifes work. She works for the county so we always go with her insurance as it has lower premiums for better coverage. I just want to make sure we are looking at it right. They offer a HDHP that has an out of pocket max of 5200 for family. The county gives 2k to anyone who signs up for this plan to put in their HSA. The HSA is through UMB bank, they have horrible fund selections with either big front loads, or HIGH expenses or both.

1. My questions are, if we do the HSA and max the amount a family is allowed to put in for 2016 that is 6,750 right?
2. So if the county is giving us 2k to put in the HSA then our out of pocket max is really 3,200 right?
3. We can still pay for expenses out of pocked and be reimbursed from our hsa at a later date right? even years later as long as we keep receipts?
4. To me this sounds like a no brainer as they give us 2k and our out of pocket max is 5,200 vs the hmo with an out of pocket max of 13k, am i looking at this wrong?

MDM

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Re: Help with HSA
« Reply #1 on: November 09, 2015, 03:44:15 PM »
The HSA is through UMB bank, they have horrible fund selections with either big front loads, or HIGH expenses or both.
You are allowed to transfer your HSA to another provider.  See http://thefinancebuff.com/how-to-rollover-an-hsa-on-your-own-and-avoid-trustee-transfer-fee.html
For which provider to transfer to, see http://forum.mrmoneymustache.com/taxes/good-hsa-providers/.

Quote
1. My questions are, if we do the HSA and max the amount a family is allowed to put in for 2016 that is 6,750 right?
2. So if the county is giving us 2k to put in the HSA then our out of pocket max is really 3,200 right?
3. We can still pay for expenses out of pocked and be reimbursed from our hsa at a later date right? even years later as long as we keep receipts?
4. To me this sounds like a no brainer as they give us 2k and our out of pocket max is 5,200 vs the hmo with an out of pocket max of 13k, am i looking at this wrong?
Yes, yes, yes, yes, and "not if you portrayed the HDHP/HSA terms correctly."

Sibley

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Re: Help with HSA
« Reply #2 on: November 09, 2015, 04:53:04 PM »
#3 - there may be a time limit, but it'd be pretty generous if so. Just get and keep your act together. Or, they may have a debit card type thing that you'd use to pay with.

Sorry the investments suck. I just signed up for HDHP/HSA at work, and have no idea what investments they'll allow.

MDM

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Re: Help with HSA
« Reply #3 on: November 09, 2015, 06:13:12 PM »
#3 - there may be a time limit....

No time limit, other than the expense has to have occurred after the HSA was established.

From https://www.irs.gov/publications/p969/ar02.html#en_US_2014_publink1000204081: "You can receive tax-free distributions from your HSA to pay or be reimbursed for qualified medical expenses you incur after you establish the HSA. ... You do not have to make distributions from your HSA each year."