J.P. Morgan reports that for third consecutive year, they have seen a significant increase in the use if H.S.A.’s.  They have added a record number of accounts and currently administers more than 900,000 accounts with over $1.5 billion in H.S.A. deposits.  They continue to be used as an “effective tool for managing health care expenses”.  This is a powerful tool putting YOU in control of your healthcare versus only being a user.

The average balance last year for new H.S.A.’s rose to it’s highest level in seven years with average balance of $1,547 – up 4% from 2010 and the average contributions of $1,912 versus $1,884, an increase of 1.5%.

This equates to an average tax savings of $500.  Additionally, JP Morgan states that “74% of account holders contributed MORE than they spent during each month.”  These tax free contributions and account growth are ALWAYS available and are not lost at year’s end as in a Flexible Spending Account.

Since Health Savings Accounts were created in 2006, David R. Van Ahn has beleived in them, introducing and educating small business to the value of utilizing HSA’s.  His education approach informs employers AND employees of the value of lower premiums, tax savings and continued quality coverage of the Consumer Driven Healthcare platform.

At Health Insurance Advisor, we not only educate on Consumer Driven Healthcare, we ‘employ’ it.  Our owner and employees all have HSA’s so we understand and live the benefits, just as you would.

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