Permalink Submitted by Alan Spross on Thu, 2007-08-30 21:53
I think you have this one backward. There is a one time transfer available from an IRA to an HSA, but no option to transfer in reverse. This is an attempt to pump up HSA assets which in turn may produce better investment options for HSA accounts. Some planners look at this option as not worth the trouble since it is only allowed one time and for very modest amounts. Still, in some cases it could make sense since HSA assets are potentially subject to tax free distribution. Att’d is a link:
Permalink Submitted by Alan Spross on Thu, 2007-08-30 21:53
I think you have this one backward. There is a one time transfer available from an IRA to an HSA, but no option to transfer in reverse. This is an attempt to pump up HSA assets which in turn may produce better investment options for HSA accounts. Some planners look at this option as not worth the trouble since it is only allowed one time and for very modest amounts. Still, in some cases it could make sense since HSA assets are potentially subject to tax free distribution. Att’d is a link:
http://www.complianceheadquarters.com/IRA/IRA_Articles/12_14_06.html