Which of the following statements about health savings accounts (HSAs)is true?

Question

Quizplus · Accepted Answer

Once an individual has reached age 65 or is covered by Medicare, no additional contributions to the HSA may be made. This is because HSAs are designed to be used in conjunction with a high-deductible health plan, which individuals typically do not enroll in once they become eligible for Medicare. Therefore, the ability to make contributions to an HSA ceases at age 65 or when an individual enrolls in Medicare. Option A is false, as there are contribution limits for HSAs established annually by the IRS. Option C is false, as HSA-qualified plans must have a minimum deductible set by the IRS. Option D is false, as HSAs offer tax benefits to the account beneficiary, including tax-deductible contributions, tax-free earnings on investments, and tax-free withdrawals when used for qualified medical expenses.

Which of the Following Statements About Health Savings Accounts (HSAs)is