Sixty-Five Incorporated

Unbiased Medicare Help: (262) 223-3433

What to know about enrolling in Medicare with a Health Savings Account

3 facts for those enrolling in Medicare who have a Health Savings Account (HSA)

Are you approaching 65 and planning on enrolling in Medicare? 

Are you also participating in a consumer choice health plan and contributing to a health savings account (HSA)? 

If you answered yes to both questions, here are some facts to consider:

  • Once you are enrolled in Medicare, you must stop contributions. Those enrolled in Medicare are no longer eligible to contribute to an HSA. 
  • You can withdraw funds from the HSA for eligible medical expenses including premiums for Medicare Parts B, medical insurance, and Part D, prescription drug coverage, and a Medicare Advantage plan, along with deductible, copayments, and coinsurance for medical care and medications. 
  • You cannot use funds from an HSA to pay premiums for Medicare supplement insurance, also known as a Medigap policy.

A special concern for those who delay Medicare enrollment: If you enroll after the age of 65, Social Security can backdate date Medicare takes effect. Consider stopping contributions six months before you want Medicare to start.

Last updated: June 15, 2016, 4:30:29 PM