Health Savings Account uses

Including among a Health Savings Account uses is the choice it affords to the insured.

It affords an alternative to the many health insurance plans that are available.

In spite of the number of plans that are available, there is still a major healthcare problem in the US.

The chief cause of the problem is the spiraling cost of health care.

Health Savings Account uses

As a result of the high cost of health care, health insurance coverage also soars.

• A Health Savings Account offers an alternative for a cheaper premium albeit at the price of a high deductible.
• The Health Savings Account is created for persons in high deductible health plans.
• Because of the high deductible, the monthly premiums are lower.
• The HSA is used to save to pay for the high deductible or other eligible medical expenses.
• The HSA allows them to save pre-tax dollars in a tax free account that can grow tax free.
• This money is yours. It can be taken with you even if you change jobs.
• Withdrawals for the account before age 65 must only be used for eligible medical deductions.
• Any withdrawal for non-eligible medical expenses are subject two penalties
  

1. A 10% penalty on the amount withdrawn
   
2. Ordinary taxes on the amount withdrawn