Who can open a Health Savings Account (HSA)?

To open and contribute to a Health Savings Account (HSA), you must meet all of the following criteria:

✅ HSA Eligibility Requirements:

  1. You must be covered by a high-deductible health plan (HDHP)
    The plan must meet IRS requirements for deductibles and out-of-pocket maximums.

  2. You cannot have any other disqualifying health coverage
    This includes things like general-purpose FSAs or being covered under a non-HDHP (unless certain exceptions apply).

  3. You cannot be enrolled in Medicare
    Once you’re enrolled in any part of Medicare (A, B, or D), you can no longer contribute to an HSA.

  4. You cannot be claimed as someone else’s tax dependent
    Even if you’re covered by an HDHP, you’re not eligible if someone can claim you on their tax return.

🧠 Good to Know:

  • You can open an HSA even if your employer doesn’t offer one—many banks and credit unions offer individual HSA accounts.

  • Your eligibility is determined monthly, so if your situation changes mid-year, your contribution limit may need to be prorated.

Tax-Advantaged Accounts