How do you get that money back from taxes if your employer doesn't contribute pretax income to your HSA? If you on your own contribute? How do you get those FICA taxes back???
Thank you for watching and commenting @angeliquebey5027. When filing your taxes there is a section on which you can list your contributions to an HSA account. Anything that you have contributed to that account will qualify as a deduction against your taxes. If you use computer software for your taxes, it will ask you "have you contributed to a Health Savings Account?"
@@BrooksJones Okay so basically everything will balance out if you personally contribute to your HSA instead of your employer? Thank you so much for the insightful video and quick reply I really appreciate it
@@islandgrl22 Yes, That is actually the way I started...My employer never used to contribute or match and I had to figure all of this out myself. I have now done this for several years and seen the deductions first hand on my own taxes. I am thrilled that my video was at least some sort of help to you. Good luck with your finances in the future.
@@BrooksJones Thank you!! You just earned a new subscriber. I'm so new to all this finance stuff and again I really appreciate you sharing your knowledge
How do you analyze whether to have a HDHP vs. a more complete health insurance, especially when married with kids? You'll have your health care expenses as you get older right?
This is going to be VERY situational. I suggest tracking all of your medical expenses for a year or looking back at what you spent this past year as a good starting point. If you have a "Cadillac" medical insurance plan with a low out of pocket cost and a large network then I would suggest that you stick with that. Again, this is situational based on the needs of your family, age of your kids, etc. There is a lot to be said for peace of mind. I would not sacrifice excellent coverage and low out-of-pocket cost just to be able to qualify for a HDHP. But, if your deductable with your current plan is fairly close to that of a HDHP, then it would be worth exploring your options and thinking about an HSA. As you get older, your healthcare expenses will most likely increase. This is another benefit to having an HSA on the side, you can grow that money in investments and then just ear mark it for future medical costs.
Concise and well explained. Nailed it.
Thank you, I’m glad it came across well.
How do you get that money back from taxes if your employer doesn't contribute pretax income to your HSA? If you on your own contribute? How do you get those FICA taxes back???
Thank you for watching and commenting @angeliquebey5027. When filing your taxes there is a section on which you can list your contributions to an HSA account. Anything that you have contributed to that account will qualify as a deduction against your taxes. If you use computer software for your taxes, it will ask you "have you contributed to a Health Savings Account?"
@@BrooksJones Okay so basically everything will balance out if you personally contribute to your HSA instead of your employer? Thank you so much for the insightful video and quick reply I really appreciate it
@@islandgrl22 Yes, That is actually the way I started...My employer never used to contribute or match and I had to figure all of this out myself. I have now done this for several years and seen the deductions first hand on my own taxes. I am thrilled that my video was at least some sort of help to you. Good luck with your finances in the future.
@@BrooksJones Thank you!! You just earned a new subscriber. I'm so new to all this finance stuff and again I really appreciate you sharing your knowledge
@@islandgrl22 I'm stoked to have you as a subscriber, it means a lot.
How do you analyze whether to have a HDHP vs. a more complete health insurance, especially when married with kids?
You'll have your health care expenses as you get older right?
This is going to be VERY situational. I suggest tracking all of your medical expenses for a year or looking back at what you spent this past year as a good starting point.
If you have a "Cadillac" medical insurance plan with a low out of pocket cost and a large network then I would suggest that you stick with that. Again, this is situational based on the needs of your family, age of your kids, etc.
There is a lot to be said for peace of mind. I would not sacrifice excellent coverage and low out-of-pocket cost just to be able to qualify for a HDHP. But, if your deductable with your current plan is fairly close to that of a HDHP, then it would be worth exploring your options and thinking about an HSA.
As you get older, your healthcare expenses will most likely increase. This is another benefit to having an HSA on the side, you can grow that money in investments and then just ear mark it for future medical costs.
what an intro!
Thank you Claire, I appreciate it.