How to Invest Your HSA Contributions
Your Health Savings Account (HSA) helps you save money for healthcare expenses, but did you know it can also serve as a powerful investment tool?
American Fidelity recently launched a new, easy-to-use site for managing your HSA investments. You can invest, monitor performance, and change allocations all from your online account. Plus, you’ll have access to helpful resources and investment tools.
From your dashboard, click Manage My Reimbursement Account, then select your Health Savings Account. Click the Investment button to get started.
Note: You must have a minimum balance of $2,500 in your HSA before you can begin investing. When you view the investment section of your online account, you’ll be able to see if you meet that requirement.
Click Transfer to Investments to begin allocating your funds. Enter the amount you want to transfer, then click Submit. Once you have confirmed your fund transfer, you should see the transaction as a Pending Transfer.
It takes 1-2 business days to transfer money to/from your HSA bank account, and funds are available in 2-4 business days.
Your investment account offers access to the HSA Guided Portfolio, a planning tool that helps you create an asset allocation that fits your objectives. After completing a few simple questions about your risk tolerance and needs, a potential allocation mix will be provided.
To access the HSA Guided Portfolio, select Planning Tools. Then, click HSA Guided Portfolio.
You’ll also have access to helpful resources, fund performance charts, quarterly statements, and more!
Much like a 401(k), your HSA dollars can help you save for retirement even when not invested in mutual funds. And, you can contribute to your HSA and other retirement accounts—like a 401(k)—at the same time.
To learn more about HSA investments, check out these helpful resources:
- How Your HSA Can Help You Prepare for Retirement
- Should You Invest Your HSA?
- 4 Ways to Invest in Your Future with Your Tax Refund
This blog is up to date as of August 2020 and has not been updated for changes in the law, administration or current event.