Do tax advantages outweigh the cons of an HSA?

Today's topic: The pros and cons of an HSA plan. Let's start with the pros number one tax advantages. You can contribute to an HSA using pre-tax dollars, which means your over allowing your taxable income. You can also use these pre-tax dollars to pay for your medical expenses on top of that any growth in your HSA is tax deferred income. Number two. You can use an HSA as a retirement vehicle. So you can keep your HSA until you retire and use the funds in there to pay for your Healthcare expenses at that time. In addition. If you're over the age of65, you can use the funds in your HSA to pay for non-healthcare expenses as well. Number three. Typically HSA plans have lower payroll contributions. Although that's a tricky one and number four an employer can contribute to an HSA on your behalf. Now the cons HSA plans have higher deductibles. From a minimum IRS-required deductible of 1,500 to a maximum of 7,500that is a ton of exposure to a high-cost event and can become a real barrier to Care. Number two prescription drug expenses also apply towards that deductible now because more people take prescription drugs. This is a higher frequency high-cost event. This can be a barrier to taking a medication number three hsas can be problematic for some Cost Containment Solutions. There are many cost-containment solutions that incentive members to make good Healthcare Decisions by offering something for free, but because you must meet an IRS required minimum deductible of 1500 dollars a layer of administrative complexity is required in order to stay compliant with IRS regulations. So now that I've outlined the pros and cons of To say plan tune in next week to learn how your HSA plan might be a ticking time Mom. You didn't even know you had more importantly, I'll teach you how to defuse it.