Can a couple who is planning to retire early open an HSA?
Sure. Anyone under age 65 can contribute to an HSA if he or she buys a high-deductible health insurance policy, and you can contribute an extra $1000 in 2009 if you are 55 or older. You can’t make new HSA contributions after age 65, but you can still use the money in your account tax-free for medical expenses at any age. You’ll owe income taxes on the money — but no penalty — if you withdraw the money for nonmedical expenses after age 65.
Related Questions
- I understand that early retirement is age 55 with 5 years of service, however what if I would like to retire at age 62. Can I do that or can I only retire at ages 55 or 65?
- I want to retire before age 59. How do I avoid the 10% early distribution penalty on retirement payments from my 401k?
- Can a couple who is planning to retire early open an HSA account?
