Can an adult child’s medical expenses be paid for from their parents’ Health Savings Account (HSA)?
With the new law (ahem), most people realize that adult children can qualify as dependents for health insurance purposes (even if they aren’t a tax dependent). But, they aren’t eligible to have medical expenses paid for from their parents’ HSA. However, HSA rules allow adult children to open their own HSA and use it (within proscribed limits) to pay their own claims with tax-advantaged dollars just like their parents can.
To learn more, visit the IRS website (see Qualifying for an HSA and Limit on Contributions).
With the new law (ahem), most people realize that adult children can qualify as dependents for health insurance purposes (even if they aren’t a tax dependent). But, they aren’t eligible to have medical expenses paid for from their parents’ HSA. However, HSA rules allow adult children to open their own HSA and use it (within proscribed limits) to pay their own claims with tax-advantaged dollars just like their parents can.
To learn more, visit the IRS website (see Qualifying for an HSA and Limit on Contributions).