Find Your Optimal HSA Contribution
How to find your optimal contribution
Answer a few questions about yourself and how you’ll be contributing to your HSA. We’ll use this information to build a contribution recommendation.
Choose the insurance coverage type for your health plan.
Enter your annual income. We'll use this to calculate your average tax rate.
Choose the option that most closely represents your tax filing status. We'll use this to calculate your average tax rate.
The state where you file your tax return. We'll use this to calculate your average tax rate.
Your age today. We'll use this to calculate how many years you have until retirement if you are planning to invest your HSA for the long-term.
Select "Yes" if you currently have an HSA with Lively or another provider. We'll then ask for your current balance to build your projections.
Select "Yes" if your employer offers an HSA and you will be setting your contribution amounts through your employer.
- Annual income
The amount of income you earn the year you open your HSA. We use this to estimate your average tax rate and project the tax savings from your HSA contributions.
- Filing status
We'll use this to calculate your average tax rate. Select the option that most closely matches your filing status.
- Health savings account (HSA)
An HSA is a tax-advantaged savings account that can only be used with a qualifying high-deductible health plan (HDHP).
- Current HSA balance
The amount you already have in your health savings account the first month after you open it.
- Annual HSA expenses
The estimated amount you'll pay each year from your HSA for qualified medical and healthcare costs.
- Retirement age
Everyone’s retirement age is different. This age could be the year you start receiving Medicare benefits. For HSA specifics, this could be the year you begin withdrawing funds from your HSA after you turn 65.
- Maximum contribution amount
The IRS sets limits each year for maximum contributions to HSAs and other tax-advantaged savings accounts. For 2023, HSA-eligible account holders are allowed to contribute $3,850 for individual coverage and $7,750 for family coverage. For 2022, HSA-eligible account holders are allowed to contribute $3,650 for individual coverage and $7,300 for family coverage.
- Estimated tax savings
The estimated amount you will save on Federal and State (if applicable) taxes by making contributions to your HSA.
- What is an HSA?
A health savings account (HSA) allows you to save tax-advantaged money (pre-tax for contributions made from paychecks, tax deductions for direct contributions) to be spent on qualified medical expenses. Those can include most medical, dental and pharmacy bills, co-payments and coinsurance. The most common way to access these funds is with an HSA debit card.
You can also reimburse yourself from the account for your own medical expenses paid out-of-pocket (expense requirements are quite liberal). This means you're spending "tax-free" money for most medical costs, creating enormous potential tax savings when utilizing an HSA.
- Who is eligible to open an HSA?
Your health insurance must be classified as an HSA-eligible High Deductible Health Plan (HDHP). This insurance coverage type charges lower-than-normal premium payments, but the minimum HDHP deductible amount is high and changes annually.
In 2021, the minimum deductible is at least $1,400 for an individual and $2,800 for a family plan.
You can't contribute to an HSA once you start receiving Medicare Part A benefits.
- What designates a qualifying High Deductible Health Plan?
A High-Deductible Health Plan (HDHP) is a health insurance plan traditionally defined by lower premiums and higher deductibles. For a health plan to be considered a qualifying, high-deductible health plan, or HSA-eligible, it must meet the IRS's annual minimum deductible and out-of-pocket maximum set annually. These two amounts are indexed annually for inflation.
The health insurance plan must also be designed so that the individual or family (two or more individuals) pay the cost of healthcare up to the deductible before any insurance kicks in (preventative care excluded from this definition).
- What are the HSA contribution limits?
The IRS sets limits each year for maximum contributions to an HSA. The maximum contribution limits for 2023 are $3,850 for individuals and $7,750 for families. The maximum contribution limits for 2022 are $3,650 for individuals and $7,300 for families. If you are 55 or older, you can contribute an additional $1,000 catch-up contribution. If your spouse is also 55 or older, they may also be able to contribute an additional $1,000 catch-up contribution into their own account.
- How can I open an HSA?
Opening or transferring your HSA to Lively is easy and you won’t be surprised by hidden fees. You can sign up here.
If your employer offers an HSA as an employee benefit, you can open one through them. Since each HSA is owned by an individual, you can open an account through any provider, at any time. You don’t have to wait until open enrollment.
- What can I use my HSA to pay for?
You can spend your HSA funds on qualified medical expenses for you, your spouse, or any dependents you claim on your tax return.
Your funds can be used to pay for thousands of qualified expenses approved by the IRS. You can use our searchable What’s Eligible tool to see what’s covered.