HSA and copay insurance?

[veritasophia]

Health insurance from the company I work for uses a high deductible plan (couples pay the first $3000) and gives access to an HSA account. My wife's insurance uses copays.

Do you think it would be worthwhile for me to contribute the max to my HSA and use those funds for medical costs in retirement? We could use my wife's insurance until retirement. The alternative is to drop my insurance plan and reduce the dent on my paycheck each month.

 

[ziggy29]

If you are covered by your wife's plan which is not an HDHP, you're not eligible for an HSA. You'd have to drop out of her plan, which may not be a good idea.

 

[bow-tie]

You could use the HSA, and pay as much of your health expenses out of pocket (as much as you feel you can anyway), and leave the HSA dollars alone to grow until retirement, when you no longer have a regular paycheck.

 

[ziggy29]

You could use the HSA, and pay as much of your health expenses out of pocket (as much as you feel you can anyway), and leave the HSA dollars alone to grow until retirement, when you no longer have a regular paycheck.

Only if he's not on his wife's health plan (assuming his wife's plan isn't an HSA-eligible HDHP).

If he is covered under her plan, and her plan is not HSA-eligible, then he can NOT open up an HSA (or contribute additional dollars to a previously existing HSA). He would have to terminate coverage under her plan and get the coverage under his own plan.

 

[MooreBonds]

Better yet....if your wife has reasonably good health, what about putting BOTH of you on your company's healthcare plan? Given recent legislation, I believe you are allowed to have your $3,000 deductible, yet contribute $5,650/year (also, there may be a catch-up provision for the over-50 crowd....but, as with all figures in this post, check for yourself first ).

 

[jdw_fire]

(also, there may be a catch-up provision for the over-50 crowd....but, as with all figures in this post, check for yourself first ).

The catch-up provision is for those over 55.

 

[veritasophia]

Thank you everyone.

We are still trying to decide what is the best course to take given the information you provided here.

Thanks again.