Picking the right healthcare insurance plan doesn’t have to feel like the plague. Our highly trained insurance brokers can break down benefits in a way that makes sense to any employee. A great debate has always been if HSA plans are worth it and who they benefit specifically. To HSA or not to HSA? That is the question that we’re going to help you answer. Keep reading as we provide you with a guide.
A Little Background Info
When you put funds into a Health Savings Account (HSA), the money isn’t taxed when you deposit cash, withdraw, or invest it for approved, medical reasons. During retirement age, however, you can use the money for any purpose, whether you need it for medical expenses or not. Some people may even argue that having an HSA is as efficient, if not a better vehicle for retirement purposes. You have to have a high-deductible health plan to qualify. Your medical bills can help you assess if an HSA is right for you. We’ll explain how later.
What Makes a Person a Great Candidate?
The most qualified candidates shouldn’t have to spend a lot of money on short-term healthcare needs. Ideally, you should be able to stockpile your cash so that you can use it for retirement. The best candidates should be younger so that the money can grow over a lifetime and have low medical expenses so that they rarely meet their deductible. You should have a substantial amount of money to contribute to the annual limit. To best utilize your HSA, you can invest the funds into mutual funds and not spend it as it grows. The funds stay there each year and accrue interest.
What Makes a Person a Bad Candidate?
When choosing an HSA as a part of your healthcare insurance plan, you have to spend up to the deductible first out-of-pocket. Once this happens, you then pay from 10%-40% of each covered service. The benefit is that you’ll have lower premiums. However, the reality is that you’re going to spend a lot of money in out-of-pocket costs. Not to HSA will be the answer to the question if paying upfront for medical expenses would be too costly. Also, if you know that there’s a major medical event coming up, you indeed want to delay this kind of health insurance plan.
Partner with Malden Solutions Today
Malden Solutions has a wealth of expertise in providing employer insurance solutions, HR solutions, and individual insurance solutions to businesses both big and small. Our team of seasoned professionals can help you navigate the rapidly-changing world of insurance with ease. We partner with businesses and individuals throughout the country to provide our dedicated services for employee benefits but also work within our surrounding communities in Maryland, Northern Virginia, and Washington, D.C. Contact us today to learn more about how we can provide effective, dynamic solutions for your business. Stay connected with us on Twitter, Facebook, and Linkedin.