I am under the impression that there is no benefit to a HSA.
With HSA you find it with pre-tax money, so you end up with a lower tax liability.
But without HSA you can claim heath expenses (even when taking the standard deduction) which results in a deduction equivalent to the first scenario.
So really it’s just a matter of building the saving to spend on healthcare versus paying as you go. I prefer to keep my funds liquid and not let the bank make money from hold my money—no HSA.
I am under the impression that there is no benefit to a HSA.
With HSA you find it with pre-tax money, so you end up with a lower tax liability.
But without HSA you can claim heath expenses (even when taking the standard deduction) which results in a deduction equivalent to the first scenario.
So really it’s just a matter of building the saving to spend on healthcare versus paying as you go. I prefer to keep my funds liquid and not let the bank make money from hold my money—no HSA.
Corrections or confirmations are appreciated.