All assumptions are using current tax law...
As I understand it, I can save all my medical receipts for years, then take money out of the HSA all at once, up to the amount I have receipts for.
For example, I now have access to a HSA so I can contribute the max amount each year until age 65, that is 3 years from now, lets say this is about 27k. If I have 27k worth of receipts at age 65 or later I can take the 27k tax free and go buy a boat or something, right? Although a more likely scenario might be to keep saving receipts up to age 70 (take SS) or age 72 (RMD age), then treat the HSA like a Roth.
The downside of the above example is that I have to pay current medical expenses using my 2025, 2026, 2027 post tax dollars, which hurts now, but should pay off later.
Is my understanding correct?
As I understand it, I can save all my medical receipts for years, then take money out of the HSA all at once, up to the amount I have receipts for.
For example, I now have access to a HSA so I can contribute the max amount each year until age 65, that is 3 years from now, lets say this is about 27k. If I have 27k worth of receipts at age 65 or later I can take the 27k tax free and go buy a boat or something, right? Although a more likely scenario might be to keep saving receipts up to age 70 (take SS) or age 72 (RMD age), then treat the HSA like a Roth.
The downside of the above example is that I have to pay current medical expenses using my 2025, 2026, 2027 post tax dollars, which hurts now, but should pay off later.
Is my understanding correct?
Statistics: Posted by MedEngineer — Thu Dec 26, 2024 9:08 am — Replies 7 — Views 367