Medicare and Health Savings Accounts

[J2727]

1) When to stop contributing to HSA?

You can't contribute to an HSA when on Medicare.

However, when exactly do you need to stop?
I'm confused about the 6-month rule.

Does it only apply if you delay Medicare?
So you have to stop 6 months before you're going to go on Medicare after delaying?

What about when you T65?
So you have to stop at 64.6?

Basically, it it a general 6 month rule applying to every situation or only specific situations?

2) What can you pay with HSA money?

- Part B premiums

- If already on SS, then you can reimburse yourself​

- Part D premiums
- Part C premiums, but only for HMOs, not PPOs
- All health care co-pays, other costs, etc.
- MedSupp premiums can't be paid

Correct?

 

[somarco]

LMGTFY

 

[Travis Price]

The first search result was

Bob Vineyard- Georgia-MedicarePlans.com

 

[LostDollar]

1) When to stop contributing to HSA?

You can't contribute to an HSA when on Medicare.

However, when exactly do you need to stop?
I'm confused about the 6-month rule.

Does it only apply if you delay Medicare?
So you have to stop 6 months before you're going to go on Medicare after delaying?

What about when you T65?
So you have to stop at 64.6?

Basically, it it a general 6 month rule applying to every situation or only specific situations?

2) What can you pay with HSA money?

- Part B premiums

- If already on SS, then you can reimburse yourself​

- Part D premiums
- Part C premiums, but only for HMOs, not PPOs
- All health care co-pays, other costs, etc.
- MedSupp premiums can't be paid

Correct?

You are now getting into a rather messy matrix that has elements of:
Social Security rules
Health Savings Account rules
Main reason(s) people have, or use, Health Savings Accounts
Rules relating to Medicare Part A
Rules relating to Medicare Part B

Here is a brief link about Part A and Part B start dates:
When will my coverage start? | Medicare

As far as an HSA is concerned, keep in mind that you may run onto folks who will be putting money into an HSA and also paying their medical bills from current cash flows rather than tapping HSA funds. While you want to have some understanding of what can be paid with an HSA account, you should not necessarily expect, or advise, everyone you meet to be using HSA funds to pay current medical expenses.

 

[Travis Price]

mediare + hsa gave me a KS Insurance Commissioner's page as first result.

Somarco= Bob= a joke

 

[LostDollar]

Somarco= Bob= a joke

I knew that.

You were too quick for me, I decided to delete my post but you were already quoting it.

 

[Travis Price]

So, they should stop contributing to their HSA 6 months before they start accepting Medicare to avoid tax implications.

Secondly, if you defer Part A, you cannot accept SS Retirement benefits.

Finally, using the HSA with Medicare, your are correct. Essentially any qualifying medical expenses EXCEPT Med Supp Premiums.

 

[somarco]

Somarco= Bob= a joke

You calling me a joke?

 

[Travis Price]

You calling me a joke?

Only on the 31st of Feb

 

[kstein]

It's not so much the timing if it was it is a math problem.

A client could sign up for Part A in December 1-1-20 and be retroactive to 6-1-19. That person should only put in 5/12 of the max amt. They could put in 5-12 in Dec or have contributed it equally over the first five months. They could also contribute up to 4-15-20.

If they over contributed, I believe there is form required to fill out from the HSA vendor (it may be an IRS form).