HSA/HDHP pros and cons

Should you and your family consider using low-premium, high-deductible health insurance and a tax-advantaged HSA? Consider the pros and cons.

HDHP/HSA coverage	Pros	Cons

Costs	Low premiums	Higher deductible

Control	HSA is owned by you and portable	You’re usually responsible for opening HSA

Choices	Free to use any healthcare services or providers	May be difficult to get pricing information to comparison-shop

Earnings	Earnings accumulate tax-free on unused assets. Investment options vary by provider	Similar to your IRA and 401(k), if you make investments that aren’t FDIC-insured, your account could lose value

Tax advantages	Deductible contributions, tax-free earnings, and tax-free distributions for qualified expenses	Little to no advantage from tax-free earnings if you spend all the money in the account each year