When you have an HSA, you have a sum of money “just sitting there” – and for some, it’s a good chunk of money – waiting until the day you get sick so that it can be used. But what if you don’t get sick, or injured, or require a visit to the doctor’s office, at all? What if one healthy year rolls into the next, and then the next – and before you know it, you have nearly $10,000 of tax-free money “just sitting there?” And then, one day, out of nowhere (because you’ve been very healthy, so it has to be out of nowhere), you just…die?
I certainly don’t mean to scare you, but the reality is that sometimes the unexpected happens. So what becomes of all the money you’ve accrued in your HSA when life throws you a curve ball? Does it all just disappear?
Luckily, HSAs can be set up in such a way that if you should pass away, any beneficiaries you name will receive all the remaining funds in your account. Better yet, your beneficiaries will receive the funds without having to wait for the estate to complete probate. To learn everything you need to know about what will happen to your HSA in the event of your death, read on: http://hbusinc.blogspot.com/2011/09/what-happens-to-my-hsa-when-i-die.html
Wiley Long is President of HSA for America, and a passionate advocate for consumer-based solutions that will improve price transparency and lower health insurance and medical costs for people purchasing individual and family health insurance plans.