HSA News for June 23, 2025
HSA news is compiled weekly by Mr. HSA, Roy Ramthun.
News from Washington
Senate Finance Tax Bill Draft Leaves Out House HSA and HRA Provisions
The new version of the big federal tax and budget bill released June 18 by the Senate Finance Committee does not mention any of the 14 HSA and HRA changes that were in the House package. Chairman Mike Crapo (R-ID) did not talk about health account provisions when he unveiled his committee's work. However, health account provisions could still show up in the big tax and budget package.
Senate Finance Tax Bill Drafters Leave Out Direct Primary Care
The Senate Finance Committee disappointed employers and benefits advisors who like direct primary care arrangements by leaving DPC arrangements out of its tax bill draft. Members of the House put a major provision supporting DPC arrangements in their version of the One Big Beautiful Act bill that they passed in May.
HSA Expansion Is in the Reconciliation Bill, Then It's Out. What's Happening in DC?
The House of Representatives wants to expand Health Savings Accounts. The Senate's first pass at a reconciliation bill does not include any of the 10 provisions that the House approved. What is the future of Health Savings Account expansion? Well, it's complicated.
HSA Studies & Analysis
Health Savings Account Contributions, Investments Can Be Boosted by One Key Thing
New research by EBRI highlights how one key thing can boost contributions and the investments included in HSAs. Although only 15% of accountholders overall invested their HSAs in assets other than cash, those that received an employer contribution (43% of accountholders) reflected higher total contributions and were more likely to invest.
Compliance Corner
Completed a Rollover and No Longer Eligible? Can You Still Make Tax-Free Distributions?
I lost my eligibility to fund an HSA several years ago but I’ve maintained a balance. If I roll over my balance to a new HSA, can I still reimburse prior years’ expenses? Yes. When you roll over balances from one HSA to another, you do not set a new establishment date. You always go back to the date that you established the original HSA.
Market Trends
Rising Costs Push Employers to Rethink Benefits Strategies: WTW
According to a new survey from WTW, employers are aiming to be more strategic in how they administer benefits as costs continue to rise. WTW found that rising benefit costs were the largest factor driving the strategy around coverage for employers. In addition, employers ranked the financial pressures on budgets as the fourth-highest factor.
Maximizing Your HSA
This Common HSA Mistake Could Cost You Thousands of Dollars
While HSAs have great potential to help Americans prepare for future health care expenses, a high percentage of account holders are not investing their HSA funds. Despite more than 64% of employers offering HSA investment options, only 15% invest their HSA funds, and many are unaware they can do so.
Preventive Care and HSAs: A Winning Combination for Long-Term Savings
Preventive care—such as annual check-ups, vaccinations, screenings, and wellness programs—helps individuals catch health issues early and maintain overall wellness. When paired with an HSA, preventive care becomes not only a health-conscious decision but also a financially savvy one.