With the increasing cost of healthcare, high deductible health plans (HDHPs) are becoming increasingly popular. HDHPs often have lower premiums but higher out of pocket expenses. HSAs are often paired with HDHPs to help offset these potential higher costs. According to the 2020 Midyear HSA Market Statistics & Trends report by Devenir Research, HSA account holders contributed almost $24 billion in their accounts for the first half of 2020, this is up 7% from the year prior. The growth in HSAs is great, but there is still a lot of misunderstanding around HSAs and how employees can effectively leverage these unique savings accounts.
SAVVI’s newly launched HSA SmartSelect Assistant combines personalized information with advanced modeling and analytics to evaluate HSA, retirement, general savings and tax consequences to provide the best HSA and retirement funding decisions for each individual employee.
“HSAs have the potential for long term savings benefits, but employees struggle to understand how to effectively use these accounts,” said, Gina Mourtzinou, CEO of SAVVI. “Our goal is to make the decisions easier for employees by combining information and decision science to determine optimal HSA and retirement savings goals so employees are not missing out on potential long-term tax and savings benefits.”
Employers also have the potential to save thousands of dollars. SAVVI recently calculated that by simply increasing employee pre-tax HSA contributions by $300,000, an employer can save over $33,000 annually through reduced FICA, unemployment and insurance contributions. For more details on the new HSA SelectSmart and employer savings, view the latest HSA SelectSmart brochure. To learn more about SAVVI FInancial and its available solutions, visit SAVVIfi.com.