Think an HSA Is Just for Healthcare Expenses? Here's Why You're Wrong
There's a lot more to the story.
Overview
If you have access to a health savings account (HSA), you've probably heard that it's one of the best ways to save for medical expenses. And the reason is simple: HSAs offer tax advantages that are difficult to find elsewhere. Contributions are tax-free, gains are tax-free, and withdrawals are tax-free when used for qualifying medical expenses.
Sure, you'll find these perks in different retirement accounts. Traditional IRAs and 401(k)s give you tax-free contributions. Roth IRAs and 401(k)s give you tax-free withdrawals. But if you want all of these benefits packaged into a single account, HSAs fit the bill.
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Originally published at www.fool.com.
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