FSAstore.com

HSAstore.com

New inventory added EVERY DAY! | Plus free shipping over $50+

EYE CARE

WEIGHT LOSS

INSOLES

OURA RING

EXPLORE ALL

HSAs and medical emergencies


HSAs and medical emergencies


Part of being human is the belief that we're invincible - right up until something breaks. Even in old age, it just never seems likely that we'll experience a medical emergency. But as likely or unlikely as that might be, everyone can benefit from putting more aside for their health.

Be proactive with your debts

If you get stuck with thousands of dollars in medical bills after a few nights in the ER, don't panic when you see the amount you owe. After submitting the claim to your insurance, you can negotiate the bill with the hospital. Medical institutions are generally pretty amenable to haggling on out-of-pocket expenses, so there's no harm in trying.

Provide a few reasons why you believe you deserve a lower rate, or, at the very least, you can ask for a more manageable payment plan. They'll likely compromise and offer a more forgiving pay structure than push you into bankruptcy. In the first scenario they get a large portion of the money they're owed - in the second scenario they get nothing.

Let's say you have an emergency appendectomy which costs $3,000 after your insurance has paid their portion. You request financial assistance, and the hospital drops the bill to $2,000, which they let you pay in $50 monthly installments.

Instead of paying $50 to the hospital from your bank account or credit card, use your HSA to make those payments. You'll be eligible to take a tax deduction because of those HSA contributions, which will lower how much you'll owe in taxes.

If you can afford to pay that $2,000 all at once, you should still utilize the tax benefits of your HSA. Make a $2,000 transfer from your bank account to your HSA and use the latter to pay the bill.

Sometimes, you need to be a little crafty

Let's look at another scenario: You break your leg hiking and go to the hospital, where you get an x-ray and see an orthopedic specialist.

The bill is $50,000, and your part after insurance is $6,000. Fortunately, you have a $6,000 emergency fund put aside in a savings account. You plan to transfer the money to your HSA in order to get the tax break. But there's a snag -- the 2025 maximum annual contribution for an HSA is only $4,300. If you transfer the full $6,000, you'll pay a 6% tax on the extra money.

Here's what you can do instead:

  • Set up a payment plan with the hospital and try to extend your payment window as long as possible.
  • Transfer $4,300 to your HSA for this calendar year and use it to pay your monthly hospital bill.
  • As soon as the new year hits, the clock resets on your HSA contributions and you can transfer the remaining amount to your HSA. By extending the payments to cover two years, you reap the full tax rewards that come with an HSA.

The best way to pay for medical emergencies with an HSA is to contribute a set amount each month. Doing so consistently will leave you with a nice safety net for the next time something unexpected happens.

More From The Learning Center

Example Article Page
Example Article Page

Read More

Get $15 off your first $125 order

Get $15 off your first $125 order

Sign up for discounts, special promotions, tips, and more!

Sign up for discounts, special promotions, tips, and more!

By entering your email address, you agree to our Terms of Use and Privacy Notice, including Notice of Financial Incentives.

Customer Service

FAQ

Contact us

Shipping & Returns

HSA Eligible Guarantee

Resources

Savings Center™

Learning Center™

Eligibility List™

HSA Advocacy

What is an HSA?

Our Company

About Us

Award & Press

Careers

My Account

Manage My Account

Order Status

About HSA Perks™

HSA Perks™ Dashboard

My Expense Dashboard

Need Help?
We are available 24 hours a day / 7 days a week.

1-888-472-7415

1-888-472-7415

FAQ

FAQ

Contact Us

Contact Us

Live Chat

Live Chat

Recently switched to an FSA account?

Shop FSA Store

100% Eligibility Guarantee

*All Shipping prices displayed are for the lower 48 states only. We do not sell internationally.
Need Help?
We are available 24 hours a day / 7 days a week.

1-888-472-7415

1-888-472-7415

FAQ

FAQ

Contact Us

Contact Us

Live Chat

Live Chat

Recently switched to an FSA account?

Shop FSA Store


© 2025 FSA Store Inc. All Rights Reserved.

Terms of Use

Privacy Notice

California Privacy Notice

Consumer Health Data Notice

Accessibility