What are HSAs?
Health Savings Accounts allow money to be put into an account owned by an individual to pay for future medical expenses. Anyone can contribute to an HSA, including employers and family members, but there are limits to the amount which can be contributed. Deposits are tax-deductible, interest earned is tax-deferred, and unused balances roll over from year to year.
Health Savings Accounts go with the employee from job to job and can be used after retirement. Only people with qualifying high-deductible health insurance plans (HDHPs) can utilize this benefit. Premiums for HDHPs are generally lower than traditional plans.