Calculate Your HSA Savings
This calculator will estimate the value of your HSA over time and help you fine-tune it by showing you how reducing/increasing your expenditures/deductibles can impact it.
About Health Savings Accounts (HSA)
For more detailed information about HSAs you can go to: http://www.treasury.gov/resource-center/faqs/Taxes/Pages/Health-Savings-Accounts.aspx.
HSAs are designed to cover qualified medical expenses of their account holder and act like traditional savings accounts by earning interest on the accumulated funds. Any unused funds are the employee's to use and can be saved for retirement.
Explanation of the fields that need to be filled:
- HDHP coverage type
Choose one of the two options for the type of coverage for your HDHP, 'family' or 'single'.
- HDHP deductible amount
Fill in your HDHP deductible amount – in other words, the amount in a given year that you pay toward medical expenses, before your insurance starts to cover any such expenses.
Note that in 2013 the minimum HDHP deductible is $1,250 for the 'single' type of coverage and $2,500 for the 'family' coverage.
- Years before retirement
How many years you have remaining till retirement.
- Current HSA balance
The current amount you have saved in your HSA.
- Monthly HSA contribution
The amount you are willing to contribute every month to your HSA.
Our calculator assumes that you make those contributions at the beginning of the month and takes into account only the regular contributions (not the catch-up contributions). Remember that your contributions are limited by the maximum allowed per year.
- Monthly heath care expenses
Fill in the monthly amount that you expect to spend on medical expenses.
- Annual rate of return
Fill in here the expected annual rate of return on your HSA funds.
Remember that this is only the expected hypothetical number; the actual rate cannot be predicted with certainty and depends on a number of factors, among which: the types of investments, their performance, fees and charges, etc.
- Marginal income tax rate
The marginal tax rate is required in order to calculate your potential tax savings. Just use the table below to determine it.
Filing Status and Income Tax Rates (2013*) Tax rate Single Head of household Married filing jointly or qualified widow(er) Married filing separately 10% $0 - $8,925 $0 - $12,750 $0 - $17,850 $0 - $8,925 15% $8,925 - $36,250 $12,750 - $48,600 $17,850 - $72,500 $8,925 - $36,250 25% $36,250 - $87,850 $48,600 - $125,450 $72,500 - $146,400 $36,250 to $73,200 28% $87,850 - $183,250 $125,450 - $203,150 $146,400 - $223,050 $73,200 to $111,525 33% $183,250 - $398,350 $203,150 - $398,350 $223,050 - $398,350 $111,525 to $199,175 35% $398,350 - $400,000 $398,350 - $450,000 $398,350 - $450,000 $199,175 to $225,000 39.60% over $400,000 over $450,000 over $450,000 over $225,000
*Note: Use the values in the table to figure only 2013 estimates. Do not use them for 2012 taxes.
Source: Revenue Procedure 2011-52 http://www.irs.gov
- Expected inflation rate
Fill in here the expected long-term average of the inflation rate.
Currently this number is around 3.0%.