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Health Savings Accounts

Submitted by crogers325 on 21 August 2009 - 10:11am

Hello,

Am hopeful that someone can provide guidance on how to indicate and plan for the use of (within ESP) funds accumulating in HSA accounts. While the dollar amounts are not substantial today, these accounts are growing and need to be appropriately consumed in time. Does ESP provide guidance on the use of these accounts in the overall consumption recommendations being made?

Thanks.

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Submitted by Dan Royer on 21 August 2009 - 5:32pm.
1

Can you use Special Expenditures folder? You an earmark there as tax deductible or excludable from AGI. Then you can get the money back through Special Receipts? I assume you've already investigated this idea.

Submitted by Dick Munroe on 21 August 2009 - 5:35pm.
2

The short answer is no, not directly. You can, with some effort, use the special receipts/expenditures mechanism to model HSAs. See:

http://www.irs.gov/publications/p969/index.html

for details on how to treat contributions and withdrawals.

We have discussed putting in HSA support into ESPlanner, but no implementation plans at the moment. Maybe now that we have 529s out of the way we can make some progress on HSAs.

Best,

Dick Munroe

Submitted by crogers325 on 22 August 2009 - 4:51pm.
3

Thanks for the suggestions on using the special receipts/expenditures mechanism to model HSA accounts. I look forward to a future update of ESP with HSA support built in. My wife and I have been quite impressed with the planning capabilities of this software already.

Submitted by Dick Munroe on 25 August 2009 - 8:01am.
4

Thanks for the compliment... Tell your friends.

Best,

Dick Munroe

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