Have 87-94% CSR? No HSA Contribution

[timsip]

only if I can do it in english..............

Most people, I say most, with this low of income, who qualify for a CSR plan, probably don't have the money to put into an HSA. But there are situations, especially retirees over age 59 1/2, who have low income on paper, and would want to use their IRA to fund an HSA. But, that's a whole other discussion that I can tell you in spanish someday.

I, and I think you have too, have quite a few self employed clients. They make over $100K, but after deductions they could qualify for Medicaid. I advise them to reduce their deductions above $16K to qualify for the CSR and maximize subsidy. In this situation, they can afford to contribute to an HSA account if they don't choose to enroll in a CSR plan, but they can also afford to make a decision on what is best for them.

 

[Yagents]

Folks, if your income is low enough for a 87-94% CSR, there is practically no benefit to fund an HSA, as your tax bracket is too low. The tax credits (dollar for dollar) trump a tax deduction (10% on the dollar).

 

[somarco]

practically no benefit to fund an HSA

Not currently, but using HSA funds to pay LTCi premiums, Medicare A & B premiums, qualified OOP expenses now and post 65.

 

[timsip]

Folks, if your income is low enough for a 87-94% CSR, there is practically no benefit to fund an HSA, as your tax bracket is too low. The tax credits (dollar for dollar) trump a tax deduction (10% on the dollar).

Sure, but don't forget not everyone needs to get a fancy new ACA plan....the ones I am referring to can afford to keep their current plan...possibly until the end of 2015 and don't need the CSR plans.