New rules make HSAs an even better way to save for a rainy day. Tied to high deductible health insurance plans, the accounts accumulate pretax earnings toward medical expenses, and the money remains untaxed when it’s spent. Because balances can roll over year to year, HSAs are an increasingly attractive long-term investment tool for those who are healthy now but expect to pay more for medical care as they age.

The latest news makes these plans even more useful as investments. Restrictions that once limited contributions to the insurance deductible have been lifted. For 2008, individuals can put away $2900, and a family’s limit is $5,800. That exceeds minimum required deductibles for these insurance plans which are $1100 for individuals and $2200 for families.

You can also get a one-time transfer of funds to your HSA from your IRA or your employer’s flexible spending or health reimbursement accounts. And even if you drop your high deductible health plan, you can still maintain and spend your HSA funds indefinitely.

We all NEED an HSA.

Best of all, the HSA can be self-directed just like an IRA and used to invest in assets you know, understand and can control. To learn more about the new rules, visit www.theentrustgroup.com.

This entry was posted on Friday, October 26th, 2007 at 8:52 am and is filed under Self-Directed IRA. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.