HealthSavings Administrators has introduced InvestorSelect HSA, a health savings account fund menu program aimed at retirement advisors.
Advisors who use the program can give clients with HSAs access to about 400 HSA investment fund choices.
Clients can invest in as many of the funds as they want, and they can start investing HSA assets in the investment funds without meeting a minimum balance requirement, according to HealthSavings Administrators.
Advisors can choose whether to get revenue from the program or to offer it as a “value-added” extra along with other services.
The menu includes funds from Vanguard, MFS, Pimco, T. Rowe Price and TIAA.
The HSA program is supposed to give consumers a chance to profit from doing a good job of holding down the cost of their own care.
Under federal law, a taxpayer must have high-deductible health coverage that meets program quality standards to set up an HSA.
An HSA holder can deduct contributions from taxable income, collect investment income without paying federal income taxes on the earnings, and use account cash to pay for health-related goods and services without paying income taxes on the withdrawals.
— Read Democrat calls HSAs a poor substitute for ACA tax credits on ThinkAdvisor.