Comments for Health Savings Administrators» Health Savings Accounts – HSA Administrators

Comment on Employer Contributions to HSAs – Tax reporting tidbits by WPJ

WPJ — Fri, 18 Dec 2009 14:17:23 +0000

I have not seen a definitive answer either. Our experience has been that, in the absence of specific guidance on HSAs, it is usually best to use the IRA regs as a proxy. You will notice that many of the guidelines for timing of contributions are in lock step with the IRA regs.

Comment on Employer Contributions to HSAs – Tax reporting tidbits by WPJ

WPJ — Wed, 25 Nov 2009 16:05:37 +0000

Neither can I. Generally, when the IRS is silent on a topic, we find out later that they have chosen to follow existing IRA regs, as the HSA and IRA are similar. MY suggestion would be to use the IRA guidelines as a rule.

Comment on 2009 HSA Contribution Limits by WPJ

WPJ — Wed, 25 Nov 2009 16:03:40 +0000

If you have any part of Medicare you are not eligible to contribute to your own HSA. I’m not sure you can drop the Medicare – you may need to research that.

So while you will have a HDHP, you cannot contribute. HOWEVER, if your wife will be covered by your HDHP, SHE can open and fund the HSA and continue to use her tax-free HSA dollars to pay for your prescriptions. You are known as an ineligible individual in the HSA regs, which does not impact your wife’s ability to contribute. The fact that the insurance policy is in your name does not impact her ability to open the HSA.

You mentioned that the HSA only allows $1,000 on branded drugs – I don’t understand that, as you can use your HSA dollars on any drugs you choose. The HDHP insurance may have some limitations.

Comment on Employer Contributions to HSAs – Tax reporting tidbits by Beth

Beth — Thu, 12 Nov 2009 03:46:00 +0000

Has the IRS ever stated a time frame in which the employee salary deferred contributions need to be made after a pay period by the employer? For example, SIMPLE IRAs, contributions must be made within 30 days after the end of the month in which the amounts would otherwise have been payable to the employee in cash. But there does not seem to be a hard fast rule for HSAs.

I have not been able to find a definite answer to this question anywhere!

Comment on Who is eligible to open and contribute to an HSA? by Candace Swayne

Candace Swayne — Tue, 27 Oct 2009 15:31:06 +0000

Is this appropriate for families with children?

Comment on Who can I name as my beneficiary? by WPJ

WPJ — Tue, 27 Oct 2009 14:14:52 +0000

You can use your HSA tax-free for eligible medical expenses for yourself, your spouse, or any
tax dependents. As long as the child you are referencing is claimed on your tax return , you can use the HSA to pay fro their medical expenses. The insurance status of the dependent or spouse does not matter when you are withdrawing money for eligible medical expenses.