HSA - Minimum balance requirement question

Are you on a new plan with different HSA or just a low deductible plan now without the ability to contribute to an HSA?

If you have a new HSA somewhere else, you can transfer the funds to that one if you want. If you just arent eligible for an HSA, see about transferring that HSA to one that charges you either a lower fee or no fee (not sure if they exist if its not employer sponsored, just havent done research there).

I feel you though, when i left my last company, i suddenly kept getting charged $2.99/mo for a fee and another $0.99/mo fee. I just cleaned out that account ultimately with having a baby last year though and reimbursing a lot. I could have transferred the funds to my new HSA with my new employer this year though had some funds still existed but wasnt worth the time with what was left really.

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I guess this is what I would need to look into? What were to happen if I transferred the remaining balance to the investment account? Would the savings account just go into the negative? What would happen to the investment account, assuming they can make any changes to it...

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Questions you'll have to ask who you would transfer it to. You might not even be able to open a HSA and rollover if you are on a low deductible plan, not sure hoenstly if you just want to do a rollover. Just thought that might be your only option.

Even my new employer HSA charges us $3/mo "maintenance fee" and 0.03% of our investment balance as ANOTHER fee. At least that really only eats a little into my employer's $900 they are throwing in there and not what I throw in there. It is highway robbery though to charge anything monthly maintenance fee as long as the balance is high enough. I would understand it maybe if it was a low account balance.

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crunch the numbers i bet your paying more with the low deductible.

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Yeah there is typically a very small window where employer low deductible plans are worthwhile in my experience. Something like anything under $16,000 is better with HDHP, $16-$20k is better with low deductible, and anything above $20k it wouldn’t matter. Obviously that varies with each plan but that’s been around my experience.

How come most people opt for those plans then?

Lack of knowledge? Little more of a hassle having to track everything?

I was content doing the high deductible plan until I had an ambulance and hospital visit. Dealing with the bills was miserable and took months to sort out.

Fidelity charges no fees for their HSA account and requires no minimum in cash. I transferred my old HSAs to Fidelity HSA and it's a full brokerage account too.

My current work HSA requires a 2k cash balance which sucks since I don't plan to use it to pay any expenses until later in the future.

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You can transfer it to another HSA company of your choosing, if the one your employer sponsored begins charging fees or you want one with better investment options.

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Something else I didn’t mention in the above post, but relates to what I said: even while you’re still employed, if your employer makes a contribution or some sort of match to your HSA (as my previous employer did), you can leave a sufficient amount in that account (to get their contribution and enough to avoid fees), and then transfer the remainder into an HSA account of your choosing.

The maximum contribution (including employer contributions) still applies. But you’re not 100% locked into the employer sponsored HSA, even while still employed.

Just wanted to make folks aware of that.