The House of Representatives recently passed two bills that expand and improve access to Health Savings Accounts (HSAs).
HR 6199 includes the following:
- Allowing HSA contributions even if the accountholder’s spouse is enrolled in a health FSA;
- Allowing an employee to transfer health FSA or HRA balances (up to certain limits) to an HSA upon enrollment in an HDHP;
- Providing first dollar coverage for certain non-preventive care, up to $250 year for individual coverage and up to $500 for family coverage; and
- Expansion of eligible medical expenses for HSAs, health FSAs and HRAs, such as gym memberships, menstrual care products, and over-the-counter medications.
HR 6311 includes the following:
- Increasing the HSA annual contribution limit significantly, to $6,650 for individuals and to $13,300 for families;
- Allowing employees enrolled in Medicare Part A to be eligible to contribute to an HSA; and
- Allowing $1,000 catch-up contribution for spouses age 55+ if the accountholder is also age 55+.
Next, the Senate will review and vote on whether to pass each bill. We will keep you updated as additional information becomes available.