HSA Accounts

Anyone have any advice on how to treat HSA accounts such that their triple tax advantage is reflected?

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  • NotACPA
    NotACPA SuperUser, Windows Beta Beta
    My wife has an HSA, and I'm unfamiliar with this "triple tax advantage". Please elaborate.
    Also, there's 2 types of HSA accounts: those that hold cash only and those that hold investments and cash.
    The former is usually set up as a Savings type account, and the latter MUST BE an investment type account.
    Q user since DOS version 5
    Now running Quicken Windows Subscription, Home & Business
    Retired "Certified Information Systems Auditor" & Bank Audit VP
  • The triple tax advantage is due to the fact that:
    1). Contributions are tax free (either pre-tax payroll deduction or take a deduction if paid with after tax dollars)
    2). Income from HSA investments, if any, is tax free
    3). Funds spent are tax free, provided they are for qualifying medical expenses

    My particular HSA has both a "savings" and an investment element. The former is due to the fact that a $2k min. is required in the account prior to any investments. So, wondering if best to set up two accounts (one as a savings, and the other as an investment account)?
  • evergreen.97
    evergreen.97 Member ✭✭
    NotACPA: does Quicken properly handle Fidelity NetBenefits based HSA?
  • NotACPA
    NotACPA SuperUser, Windows Beta Beta
    NotACPA: does Quicken properly handle Fidelity NetBenefits based HSA?
    I can't answer that as my wife's HSA isn't with Fidelity NetBenefits.
    Q user since DOS version 5
    Now running Quicken Windows Subscription, Home & Business
    Retired "Certified Information Systems Auditor" & Bank Audit VP
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