Ways To Get More From
February 1, 2012
Vol. 8, Issue 2
I think I inherited some of my frugality from my father. He loves reading Consumer Reports almost as much as he loves saving money, during those rare times when he actually does spend some money. With my master's degree in nutrition and exercise science and 25 years in the insurance business, I myself find particular pleasure in helping people keep more money in their pockets when it comes to medically-related expenses. To this month I'd like to remind you of some ways to get more from your HSA.
Dad, me, and Wiley IV
Tips to Get More from Your HSA
With one family HSA, you can make a tax-deductible contribution of $6,250 plus one $1,000 catch-up contribution. If you and your wife are both between 55 and 65, you can make a second catch-up contribution of $1,000 for the spouse, but to do so the spouse must establish a separate Health Savings Account. That's a tax deduction of $8,250, which may substantially lower your April 15th tax bill.
Did you know you can roll over IRA money into your HSA? You can make a tax-free rollover only once in your lifetime, up to the maximum contribution limit for the year. Unlike with an IRA, the HSA will allow you to spend that money on qualified medical expenses without paying taxes on the withdrawal.
Once you are 65, you can use HSA money for long-term care insurance or Medicare premiums and the money still won't be taxed.
Never lose a receipt for HSA expenses again. Pay by check or debit card and you don't have to collect and store receipts.
Save your HSA dollars for retirement by avoiding health problems. The President's Cancer Panel recommends you avoid pesticides to reduce your risk for cancer and other diseases. Here are their findings about when it's ok to eat conventionally-grown produce and when you need organically-grown food.
Tested Positive for
Little or no Trace
The "dirty dozen" were extremely contaminated even after the USDA washed the produce with high-power pressure water systems. Organic produce can be a real bargain when it saves you thousands of dollars in out-of-pocket medical costs and years of treatment, or even something much worse.
ext month I'll share a new benefit I've found that will even enable you to purchase imaging services like x-rays and CAT scans at wholesale prices.
Until next time, To your health and wealth!