T-Minus
Recycles dryer sheets
Can somebody please help me understand whether or not I can use an individual HSA while in Early Retirement? Here's what I'd like to do:
- Retire at age 56 and use COBRA for medical coverage for the next 18 months (taking me to Jan 2019). My plan qualifies as a High-deductible Health Plan.
- Starting in Jan of 2018, fund an individual HSA to the maximum amount for my family (wife and I) of $6,750, plus $1,000 Catch-up for me because I am 55 and over (making my total contribution for 2018 = $7,750). DW is a spring chicken and is only 50...
- Use the money in the HSA account to pay my COBRA premiums
- When completing my taxes for 2018, deduct the $7,750 amount above against my AGI
Am I understanding how this works correctly? If yes, how would I determine who would be the best individual HSA custodian?
I thought I understood this clearly, but now am not so sure. Thanks for educating me on this.
- Retire at age 56 and use COBRA for medical coverage for the next 18 months (taking me to Jan 2019). My plan qualifies as a High-deductible Health Plan.
- Starting in Jan of 2018, fund an individual HSA to the maximum amount for my family (wife and I) of $6,750, plus $1,000 Catch-up for me because I am 55 and over (making my total contribution for 2018 = $7,750). DW is a spring chicken and is only 50...
- Use the money in the HSA account to pay my COBRA premiums
- When completing my taxes for 2018, deduct the $7,750 amount above against my AGI
Am I understanding how this works correctly? If yes, how would I determine who would be the best individual HSA custodian?
I thought I understood this clearly, but now am not so sure. Thanks for educating me on this.
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