After HSA plan ends, what happens to HSA money?

What happens if you have a Health Savings Account (HSA) and then you change plans, but your new plan is not HSA-compatible? Will I lose my money?
Penny Pincher
Dear Penny Pincher,
You will not lose the money – that’s the good news. Though you will not be able to make more deposits into your HSA, you will be able to make withdrawals for medical expenses. Anything that your new plan does not pay for — co-pays, deductibles, or services that are not covered like eyeglasses or acupuncture — you can put through your HSA. See IRS Publication 502 for a complete list of expenses that an HSA can pay.
If you go back into an HSA-compatible plan in the future, you can re-start your deposits.

Linda Riddell

About Linda Riddell

A published author and health policy analyst with 25 years’ experience, Linda Riddell's goal is to alleviate the widespread ailment of not knowing what your health plan can do for you.