What is the name of your state? California
Currently I have Kaiser Medical Group Plan through my spouses employer. We also have a Health Equity Savings Account for qualified medical expenses (co-pays, medication etc.). The money contributed is done with each paycheck and is taken out pre-tax. I am told by Medicare that in cannot have a HSA account. Below is from the 2022 Medicare Handbook page 20 Section 1:
Health Savings Account (HSA)
You aren’t eligible to make contributions to an HSA after you have Medicare. To avoid a tax penalty, you should make your last HSA contribution the month before your Part A coverage begins. Premium-free Part A coverage begins 6 months before the month you apply for Medicare, Social Security, or Railroad Retirement Board (RRB) benefits, but no earlier than the month you turn 65.
• If you apply for Medicare during your Initial Enrollment Period or during the 2 months after your Initial Enrollment Period ends, you should make your last HSA contribution the month before you turn 65.
• If you wait to enroll in Medicare less than 6 months after you turn 65, you can avoid a tax penalty by stopping HSA contributions the month before you turn 65.
• If you wait to enroll in Medicare 6 or more months after you turn 65, you can avoid a tax penalty by stopping HSA contributions 6 months before the month you apply for Medicare.
Note: A Medicare Medical Savings Account (MSA) plan is similar to an HSA.
As mentioned above the money contributed to this account is taken out pre-tax from my spouses paycheck. But we do file taxes jointly so does this have any effect with regards to the above or create any potential tax problems? Hopefully I’ve framed the question well enough, if not I of course will try to clarify. And as always I thank you all for your time and input.
Currently I have Kaiser Medical Group Plan through my spouses employer. We also have a Health Equity Savings Account for qualified medical expenses (co-pays, medication etc.). The money contributed is done with each paycheck and is taken out pre-tax. I am told by Medicare that in cannot have a HSA account. Below is from the 2022 Medicare Handbook page 20 Section 1:
Health Savings Account (HSA)
You aren’t eligible to make contributions to an HSA after you have Medicare. To avoid a tax penalty, you should make your last HSA contribution the month before your Part A coverage begins. Premium-free Part A coverage begins 6 months before the month you apply for Medicare, Social Security, or Railroad Retirement Board (RRB) benefits, but no earlier than the month you turn 65.
• If you apply for Medicare during your Initial Enrollment Period or during the 2 months after your Initial Enrollment Period ends, you should make your last HSA contribution the month before you turn 65.
• If you wait to enroll in Medicare less than 6 months after you turn 65, you can avoid a tax penalty by stopping HSA contributions the month before you turn 65.
• If you wait to enroll in Medicare 6 or more months after you turn 65, you can avoid a tax penalty by stopping HSA contributions 6 months before the month you apply for Medicare.
Note: A Medicare Medical Savings Account (MSA) plan is similar to an HSA.
As mentioned above the money contributed to this account is taken out pre-tax from my spouses paycheck. But we do file taxes jointly so does this have any effect with regards to the above or create any potential tax problems? Hopefully I’ve framed the question well enough, if not I of course will try to clarify. And as always I thank you all for your time and input.