Details are important, and general way(s) do not always apply/benefit/work for everyone. Note that in the event that the working spouse starts taking SocSec and by default Medicare A and so is no longer eligible to contribute to an HSA, but the couple/family remains on a qualifying high ded medical plan, then the issue of FICA tax savings is a moot point. The couple may still benefit from continued HSA eligibility via the non-working spouse and therefore may continue to fully take advantage of their enrollment in their HDP medical plan. Furthermore, there are even workarounds for lost employer HSA contributions for that spouse on SS/MCA who is now ineligible for the HSA: When/if the employer sets up an HRA for the employer to contribute to [longer explanation, specific HRA design separate from the employer’s other HRA account(s), but have seen this done successfully.]
Also, food for thought, is that saving on the FICA taxes impacts your future SocSec benefit which is based upon FICA taxable earnings…not always a desired effect, in particular for our highest earning years to be included in the SocSec benefit calculation. So, sometimes (timing is different for everyone) it behooves a couple to have the lower wage earner make the HSA contributions instead of the higher wage earner, such as when it is anticipated that the lower or no wage earner’s SocSec benefit will be less than half that of the higher wage earner’s SS benefit.
fine print: I am not a tax or financial advisor.
