How to use HSAs to save for healthcare costs in retirement
Three tips advisors can give clients
A new report by Nationwide Retirement Institute outlines how Health Savings Accounts can be used alongside traditional savings and retirement accounts to save for healthcare costs in retirement.
More and more financial advisors are recognizing that planning for healthcare costs in retirement is necessary, and that many consumers – even those with access to HSAs – aren’t maximizing these accounts as retirement vehicles.
Include HSAs in your practice:
According to the study, this is a “timely differentiator that demonstrates broad retirement expertise and investment acumen.”
HSA funds roll over year to year, so taking advantage of maximized contribution limits from an early age can create significant retirement savings over time.
Pay for minor healthcare costs out-of-pocket:
Similarly, consumers who can afford to pay for basic services out-of-pocket can retain their HSA funds as retirement savings, as well as invest these funds to grow tax-free.
Comprehensive wealth managers are increasingly partnering with noncomissioned advisors to provide specific advice to clients on Medicare, healthcare planning and more. To learn more, click below to contact a Bernard Health representative.
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