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HSA with HDHC transitioning to LDHC

I (and many coworkers) currently have High Ded Plans with HSA though our company. When we turn 60 we will receive Tricare due to being Military Reservists. 

 

Can we still contribute while we are covered under the HD Plan? Once we transition to the low deductible Tricare can we use the $$ we contributed in the HSA prior to age 60?

 

Thanks

 

 

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3 Replies

HSA with HDHC transitioning to LDHC

Once you are covered by Tricare you can no longer contribute to your HSA. You can use your HSA funds at any time to cover unreimbursed medical expenses. 

HSA with HDHC transitioning to LDHC

The issue you will have is the amount you can contribute to the HSA since you will not be eligible for the entire year ... so you can only put in a % of the allowable amount.  Say you are allowed $4000 but you are only eligible for 1/2 the year  thus the allowed contribution would only be $2000.  

HSA with HDHC transitioning to LDHC

and in the example above, that $2000 can be contributed after you go on Tricare (but in the same year).  While the dollars are half, it doesn't mean it all has to be contributed in the 1st half of the year.

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