Open Enrollment for 2019
Recent changes in the tax code and health care may have left you scratching your head about what it means for your tax liability and health insurance needs. Since the Affordable Care Act passed in 2011, the constant changes have left many consumers confused about what options are available to them in meeting the requirements of the law. The annual open enrollment period for insurance (11/1/18-12/15/18) is an excellent yearly reminder for you to talk with your trusted Personal Benefits Manager (PBM) to review the best options for your health care needs and find out about changes that might affect you.
HSA Changes In 2019
In 2019, Health Saving Accounts (HSA) continue to be an excellent tool for health-conscious individuals to set aside pre-tax money to pay for qualified medical expenses. As in years past, the IRS has updated the out-of-pocket maximum contribution limit for HSA for the 2019 calendar year. The out-of-pocket maximum includes copayments, deductibles, and coinsurance amounts, but excludes premiums. The self-only coverage (one-individual plan) maximum out-of-pocket limit has risen to $6,750 (from $6,650 in 2018) while the family coverage maximum out-of-pocket limit has increased to $13,500 (from $13,300 in 2018). The minimum deductible has not changed in 2019, remaining at $1,350 for self-only and $2,700 for family coverage. The contribution limits, or how much you can put into your HSA, has increased slightly in 2019 rising fifty-dollars to $3,500 for individuals and one hundred dollars to $7,000 for families. Individuals over the age of 55 can continue to use the ‘catch-up provision’ to contribute an additional $1,000 each tax year. The HSA-eligible healthshare plan offered by Mpowering Benefits allows you to take additional steps in managing your health care and health care cost. A healthshare plan brings together health-minded people that ‘share’ in the cost of healthcare of members in the network through monthly contributions. While there are fewer HSA-qualified options available these days, the Mpowering Benefit HSA-qualified healthshare plan has become very popular. This HSA-qualified healthshare plan combines the cost savings of a health care sharing plan with the tax benefits of an HSA. As always, the money in your account grows tax-deferred if not used. The money can be kept in a savings account or invested in stocks, mutual funds, and other assets.
Do not wait to plan for your health care. If this sounds like it may be a good option for you, call our customer service or talk with your trusted PBM for more information and to review your options.