A health savings account (HSA) is a wonderful solution for people who have high-deductible insurance plans that can make it difficult to pay for everyday medical expenses. The best HSA accounts are the ones that provide matching funds from an employer, but even if you’re not able to take advantage of these kinds of HSA accounts, having the ability to save money tax-free for healthcare expenses is a big benefit.

How Does an HSA Work?

An HSA is a savings account where money is placed pre-tax. Many employers provide HSA account access as a benefit in the workplace, and money is usually contributed through paycheck deductions. Many employers will either match these funds or contribute a set amount to HSA accounts each year.

The funds in the HSA can be spent on qualifying medical expenses, and many people use HSA funds to pay for healthcare expenses that insurance doesn’t cover. If you’re looking for the best HSA accounts and your employer doesn’t provide access to this benefit, you might consider talking with a financial advisor to learn about options for private health savings solutions. An insurance broker may also be able to provide direction to help you find the right healthcare options for your situation.

Defining Covered Healthcare Expenses

When it comes to what qualifies as a covered healthcare expense that can be paid for using HSA funds, regulations are fairly relaxed. Essentially, as long as an item is meant to help with a verifiable medical condition or a healthcare concern that has been diagnosed by your doctor, HSA funds can be used to pay for it.

In the case of air purifiers, you can use HSA funds to pay for an air purifier if the equipment is being used to treat a respiratory condition like asthma. It would be a good idea to have some type of documentation from your doctor stating that you have this condition if your HSA account provider decides to audit your account, but for the most part, you shouldn’t run into any problems using HSA funds to purchase an air purifier.

Author Resource:-

Daniel Stewart has been helping people with their money management and personal finance with over 15 years’ experience in business finance. You can find his thoughts at invest HSA blog.