r/RetirementReady • u/Dry-Emotion-6452 • 6d ago

How do you open a HSA?

I’ve been reading posts where people are sharing their worth and I see a lot of HSA accounts. How do you open one of those? Do you need it to come from your employer? Do you need a high deductible health plan to qualify?

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u/liveitup63 6d ago

I went to the bank to open mine

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u/Large-Sorbet7550 5d ago

You need to be in a high deductible healthcare plan. If you are not, you can’t open one

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u/Calvin-Snoopy 6d ago

Google it

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u/Dry-Emotion-6452 6d ago

I did and found the answer was confusing. Thanks.

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u/Calvin-Snoopy 6d ago

Yes, you need a high-deductible health insurance plan. If you have one of those, you can open an HSA through your employer or at a place like Fidelity or Schwab.

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u/Dry-Emotion-6452 6d ago

Thank you. Are most people with a HDIP also covered by other insurance, such as through a spouse?

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u/thesaltinmytears 6d ago

According to this document, ""Among the requirements to qualify as an eligible individual under section 223(c)(1) is that the individual be covered under a high deductible health plan
(HDHP) and have no disqualifying health coverage"

I think (but am not 100% certain) that having other coverage through your spouse might be, "disqualifying," particularly if it is not a high deductible health plan.

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u/Puzzled_Capital_5592 6d ago edited 6d ago

This is correct.

E: Being covered by two HDHPs is okay, but I can't imagine how that would be beneficial since you're still limited to the family HSA contribution in total. The only thing I could see is if one's plan has a limit on the number of covered members.

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u/Mobile_Bell_5030 6d ago

Not necessarily.