High Deductible Health Plans have become very popular over the past few years as insurance premiums have continued to rise. High deductible plans allow you to use an H.S.A. or Health Savings Account to manage your upfront expenses. Each year, the IRS sets the contribution limit for funds that you are allowed to put into your H.S.A. bank account. If you don’t pay attention to the contribution limits each year, you put yourself at risk of paying extra taxes to the IRS – let’s be honest, no one wants to do that! Continue reading “H.S.A Contribution limits and what you need to know”
The trend toward employers offering high-deductible health plans (HDHP) — and no other option — seems here to stay, like it or not. HDHP coverage is growing at a 15% pace, annually. In 2005, such plans covered 1 million people. Now, they cover more than 15 million, including 10% of those in Connecticut who are under 65 and have private insurance.
Some consumers fear a HDHP because they worry about being on the hook for that deductible, should they need significant medical care. The silver lining, though, is the ability to pair an HDHP with a tax-advantaged Health Savings Account (HSA).