Podcast
Play an AI-generated podcast conversation about this lesson
Questions and Answers
Which of the following is true about health savings accounts (HSAs)?
Which of the following is true about health savings accounts (HSAs)?
- HSAs are owned by the individual and can only be used to pay for medical expenses
- HSAs do not allow funds to roll over from year to year
- HSAs are subject to federal income tax at the time of deposit
- HSAs are only available to individuals who have a high-deductible health plan (HDHP) (correct)
What is the main difference between a health savings account (HSA) and a flexible spending account (FSA)?
What is the main difference between a health savings account (HSA) and a flexible spending account (FSA)?
- HSA funds are owned by the individual, while FSA funds are owned by the employer
- HSA funds can roll over and accumulate year to year, while FSA funds do not (correct)
- HSA funds can only be used to pay for qualified medical expenses, while FSA funds can be used for any expense
- HSA funds are subject to federal income tax, while FSA funds are not
What is a Health Reimbursement Arrangement (HRA)?
What is a Health Reimbursement Arrangement (HRA)?
- A tax-advantaged medical savings account available to individuals with a high-deductible health plan (HDHP)
- A type of health insurance plan that covers only major medical expenses
- A government program that provides healthcare coverage to low-income individuals
- An alternate tax-deductible source of funds paired with a standard health plan (correct)
What types of expenses can be paid with health savings account (HSA) funds?
What types of expenses can be paid with health savings account (HSA) funds?
Signup and view all the answers
When did the requirement for a doctor's prescription to pay for over-the-counter medications with HSA funds get lifted?
When did the requirement for a doctor's prescription to pay for over-the-counter medications with HSA funds get lifted?
Signup and view all the answers
