HSA or not?

[Montecfo]

It seems a bit strange to pay more for HSA eligible policy. I have had a High deductible HSA eligible policy for years (currently emoloyed) but it is also the cheapest option. Same with my wife's plans.

I would weigh all the costs, not just tax angle.

 

[Gotadimple]

It seems a bit strange to pay more for HSA eligible policy. I have had a High deductible HSA eligible policy for years (currently emoloyed) but it is also the cheapest option. Same with my wife's plans.

I would weigh all the costs, not just tax angle.

In theory, a policy with higher deductibles, co-pays, and out of pocket should have a lower premium - all other things being equal. However, when plans pull out of ACA marketplaces, that leaves the remaining plan(s) shouldering a bigger share of the risk. The actuaries are pricing for extra risk.

 

[RunningBum]

Some non-HSA policies are cheaper because they have even higher deductibles and max OOP costs, higher than the HSA rules allow. That's what I found in my case. I only have to pay about $25/month more for an HSA policy, worth it to me for the HSA benefits, but I have the added benefit of slightly lower deductible/OOP.

 

[Yarnstormer]

I understand that as a single parent age 55 I can contribute $7900 (family) to an HSA? Is this in addition to any over 50 IRA contributions? I like to fund my roth as much as possible every year. I am self employed - not retired. I have a good bit in taxable account so it would be nice to have it set aside for future medical expenses.

My income is estimated so I am trying to lower it as much as possible for 2018 "just in case"

 

[NoMoreJob]

I understand that as a single parent age 55 I can contribute $7900 (family) to an HSA? Is this in addition to any over 50 IRA contributions? I like to fund my roth as much as possible every year. I am self employed - not retired. I have a good bit in taxable account so it would be nice to have it set aside for future medical expenses.

My income is estimated so I am trying to lower it as much as possible for 2018 "just in case"

For 2018 the maximum family contribution will be $6900 and the catch-up is $1000 for a total of $7900.

See article here which includes explanation of how the catch-up works under various scenarios (keep scrolling down).

https://www.shrm.org/resourcesandto...es/irs-sets-2018-hsa-contribution-limits.aspx

 

[RunningBum]

HSA contributions are independent of IRA contributions. One does not cut into the others limit.

 

[Yarnstormer]

In my area, exchange HSA plans do not have copays. I’m sure there are negotiated rates tho I do not know what they are. Still, I think it’s the best choice to lower magi.