Wednesday, 5 July 2017

Watch out for high fees hiding in your health savings account

Fees vary greatly for these tax-advantaged accounts, which help you pay for medical expenses and invest for the future. Here's how to find the right one.
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Straight talk from the money editor
Health savings accounts, which seem to be a hidden secret, can be an essential part of health-care and retirement savings strategies. An HSA is basically a custodial account that is designed to help people save for health-care expenses.
I believe HSAs are a top strategy for retirement because you get a triple tax benefit. Contributions are pre-tax, growth is tax-free and withdrawals are tax-free for qualified medical expenses. If you're not familiar with an HSA and how it works, it's worth looking into. Of course, do your homework first and understand the pros and cons.
Congrats, readers: 96% of you knew the definition of a junk bond. Perhaps I need to make these questions more difficult. Remember to follow me on Twitter @jimpavia.

Jim Pavia
Money Editor
@jimpavia

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