tax-free contributions, growth, & distributions

Yes! The HSA (Health Savings Account) is a wonder of tax-advantaged accounts. Contributions aren’t taxed (an advantage of a traditional 401K), and neither is the growth on those contributions. Additionally, the money isn’t taxed when you take it out (the big advantage of a Roth). So basically the HSA is the best of both worlds. I guess? I mean, it’s a great account if you can use it like an investment account. But you might just need to use it for medical expenses. And also, if you’re with a company that just gives you great insurance (and no high-deductible), then that’s even better!

Good job. Collect prize.

Blog at