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If you are reading this and find yourself in the same situation... consider decreasing your withholding and have the money deducted into a HSA or FSA instead. Y
by djakjxnanjak 8y ago
If you are reading this and find yourself in the same situation... consider decreasing your withholding and have the money deducted into a HSA or FSA instead. You can still use the money for health expenses, and you will also get a 20-30% tax discount.
- intopieces 8y agoNote that the tax benefits of a Health Savings Account are much better than the Flex Spending Account, if you can get it. [0] https://www.investopedia.com/insurance/hsa-vs-fsa/ https://www.investopedia.com/insurance/hsa-vs-fsa/ HSA contributions are: * Deducted from your paycheck and skip all taxes * Allowed to earn interest, tax-free * Carried from year to year * Tax-free when used on health expenses * Flexible amount FSA contributions are: * Deducted from your paycheck and skip all taxes * Not able to accrue interest * "use it or lose it" per year * Fixed Amount
- jasonparallel 8y agoHSA contributions do not have to be deducted from you paycheck and you don't have to use the provider that your employer has selected.