In 2003 Health savings accounts were introduced and have been steadily growing in popularity ever since.
Many Americans, however, do not know exactly what a HSA (Health Savings Account) is or how they might benefit from having one. For many a HSA could be a cheaper alternative to a traditional health care plan.
With the cost of health care rising, the more affordable high deductible health insurance plans are becoming more attractive and can be especially effective when coupled with a tax advantaged health savings account.
This infographic provides a basic overview of what an HSA is and covers some statistics showing current trends dealing with the rising popularity of HSAs. The end of the infographic briefly addresses some of the pros and cons of an HSA to help determine if one might be right for you.
After establishing that an HSA might be a good option, researching out which one might be a good fit for your situation can be a challenging task. Each custodian or bank offers different fees, terms, investment options, and rates. Several HSAs (especially those with the highest rates offered by credit unions) are only available in some states and can have specific eligibility requirements.
Simply generating a complete list of your available options can be extremely time consuming.