The National Directory of Certified Public Accountants

Ask A CPA - Health Savings Accounts

What Are The Tax Savings Of A HSA?

The HSA account has three major tax savings. The money contributed into the account is tax deductible, it grows tax free, and certain withdrawals are tax free if they are for qualified medical expenses. To qualify for an HSA account, you must have coverage from a high-deductible health plan and you must not be enrolled in Medicare or be listed as a dependent on another person's tax return.

If you need professional help with "Health Savings Accounts" or have other tax questions, we can help you find a local licensed CPA for a free, no-obligation consultation.