This is the first useful link I've found, MinhT. Thank you!
Could you clarify something for me?
My spouse turns 65 in Dec 2021 this year in a little over a month from now. They are employed at a company with thousands of employees, and they have a family HDHP with an HSA into which they have been having the maximum yearly contribution deposited. Part of the contribution is from the employer in the amount of $1,700/year - deposited once each quarter. They only contribute if my spouse contributes. So, if we don't contribute through October, we won't get $850. We currently have my spouse, me, and 2 adult children on the policy. One adult child will age out at the end of September, leaving 3 of us on the policy.
Because the other offered medical plan has higher premiums and due to the HSA employer contribution, we have felt it important to stay on the HDHP with the HSA. But, due to the possible penalty when my spouse goes onto Medicare, we are confused about how to handle the next year. We have decided to stay on the HSA, but know we might have to pull money back out of the HSA to prevent an excess contribution.
What we don't understand is if we would have to give the employer contribution back to the employer, or if we could withdraw it and keep it as our income. Is that an IRS decision, or is it a question for the employer?
The other thing we are wondering is if I, being younger, should open another HSA and put the money in there, not knowing if I will get another HDHP on the marketplace or some other type of plan. I am not currently employed. One concern is the fees that the HSA administrator will charge. We don't know if it is worth it. Any thoughts on that as far as fee and taxes and such?
