HSA- ADDITIONAL TAX DEDUCTIONS FOR 2019:
HSA (Health Saving Accounts)
Updates for 2019
“In Revenue Procedure 2018-30, the IRS said the annual limitation on deductions for an individual with self -only coverage under a high deductible health plan is $3,500 for calendar year 2019. Also for next year, the annual limitation on deductions for an individual with family coverage under a high deductible health plan is $7,000.
A “high deductible health plan” is defined as a health plan with an annual deductible of no less than $1,350 for self-only coverage or $2,700 for family coverage, and the annual out-of-pocket expenses (deductibles, co- payments, and other amounts, but not premiums) don’t exceed $6,750 for self-only coverage or $13,500 for family coverage for 2019.”
So you ask yourself, “Self, what is this HSA stuff and how can I take advantage of this?” Easy! Call your bank and ask if they offer HSA accounts. If you’re local here in Louisiana, Investar Bank is who I recommend for that.
Next, open an account, which takes all of about 30 minutes, start it with any $$, and then through the year, put in up to $3,450 single/ $6,900 family, which is non-taxed income! Then, every time you buy medicine, go to any doctor, get almost any test or medical item, you pay it off your HSA debit card. If you don’t use all your $3450, you can add on another $3500 next year and it keeps building. It’s that easy. For a list of eligible medical expenses for your HSA, go to: www.hsacenter.com/what-is-an-hsa/qualified-medical-expenses/