Use Your Health Saving Account to Save for Retirement!
A Health Savings Account (commonly referred to as an HSA) has many benefits. But you may not realize that while it is a great way to save for medical expenses and reduce your taxable income, you also can use an HSA to save for retirement!
If you are enrolled in a high-deductible health insurance plan (HDHP) as defined by the government, then you qualify for an HSA.
Benefits of an HSA:
- Tax-deductible contributions
- Catch-up contributions to those age 55 or better
- Tax-free withdrawals for qualified medical expenses
- Tax-free earnings
- Balance can carry from year-to-year
- At age 65, can be used as a retirement account
At Security Financial Bank, we pride ourselves on no hidden or monthly fees for maintaining a health savings account with us. SFB offers a HSA checking account, which pays interest to allow your funds to grow. In addition, your first order of checks is free, and you will receive a free debit card for easy access to your funds.