What to do with an HSA after changing jobs
When you leave an employer for a job that does not offer a high-deductible health plan, you can keep your existing health savings account and invested funds, but you cannot make new contributions. Moving or rolling over the funds requires careful attention to account fees, potential tax implications depending on the account type, and avoiding accidentally forgetting about the balance.
What people tried
Every workaround mentioned in the threads below. We haven’t tested any of them — and nobody here is claiming they worked.
- 1Leaving the HSA with the current provider or transferring it to a zero-fee brokerage like Fidelity, Vanguard, or Charles Schwab
- 2Keeping the funds invested and tracking medical receipts to reimburse yourself later tax-free
- 3Leaving the account as is with the former employer's financial institution
In their words
Unedited, grouped by where they were said, most upvoted first within each place, each linked to the thread it came from.
“One of the cons is this new position does not have an HSA option.”source ↗
“Can I continue contributing to it ?”source ↗
“If it needs to be put elsewhere, where should I put it ?”source ↗
“Do I rollover the 403a or leave the account as is? It is about 6k now.”source ↗
“I don't even work in the same state as the old 403a and I also don't want to incur any unnecessary fees associated with a rollover. I also fear forgetting about this account.”source ↗
“Since the 403a was pretax contributions, I'll have to pay tax on it if I roll it over to a Roth IRA correct?”source ↗
Where this came up
People with this problem also raised
- 4How to handle 401(k) contributions and employer matches when changing jobs
- 3Can I keep my Etsy shop and Payoneer account after moving abroad?
- 2Transferring physical custodial stock after custodian dies and name change
- 6How do I roll over a 401k after a layoff?
- 12How to translate my foreign work experience for a new job market
- 6How to switch from a traditional big bank to a better checking account