If you have a high-deductible health plan at work, you probably have a health savings account along with it, too. Though so-called HSAs bring a bevy of tax advantages, many investors aren't using them to their full potential.
High-deductible health insurance plans are often coupled with a health savings account, or HSA, a tax-advantaged account you can use to save and pay for medical expenses.
In 2018, only 6% of HSA users invested their balances in something other than cash, according to the Employee Benefit Research Institute.Investing a pot of tax-free cash for medical expenses is a great idea, with apparently few takers. You can contribute to an HSA on a pretax or tax-deductible basis and have your savings grow free of taxes over time. You can also take tax-free distributions to cover qualified medical expenses.
As attractive as these features may be, few people are maximizing their options, according to data from the Employee Benefit Research Institute.
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
I keep my tax money in a high-yield savings account to earn more - Business InsiderI'm self-employed, so I pay my taxes quarterly. To ensure I have enough money, I set aside 30-40% of my income in a high-yield savings account.
Read more »
David Harbour and Lily Allen Make Red Carpet Debut at 2020 SAG AwardsAfter months of sightings, Stranger Things' David Harbour and Lily Allen made things red carpet official at the 26th Annual Screen Actors Guild Awards on Sunday, Jan. 19
Read more »
This $2 Eyebrow Pencil Gives Me My Best Brows EverAfter wasting a lot of time (and money) on meh eyebrow pencils, I've finally found 'the one' — and it's only $2.
Read more »
Talks on tech tax with U.S. still difficult: France's Le MaireTalks between France and the United States on taxing digital companies 'rem...
Read more »
14 healthy breakfasts to kick start your dayBecause no one achieved great things on coffee and air
Read more »