7 Things To Consider When Choosing An HSA Provider
So you want to open an HSA? The next step is choosing your HSA provider. As you’re comparing different providers, here are 7 features you should be considering:
- Ability to invest. If you’d like to grow your HSA dollars instead of only using them to pay for current medical expenses, you want an HSA provider that allows you to invest your funds. Over 50% of our clients use their HSAs for investing (that’s 12 times higher than the national average), and our average account balance is 5 times higher than the national average balance. We tell a different story, and we’ve gotten a different result.
- Assets under management. If you’re going to be trusting an HSA provider with your hard-earned money, you don’t want to be one of its first customers. HealthSavings Administrators has consistently been ranked as one of the top 15 largest HSA providers nationwide (and been specifically recognized for our investment options).
- Fund lineup. Make sure your HSA provider has the mutual fund lineup you want; don’t settle for just a few options. HealthSavings offers over 40 mutual funds from Vanguard and Dimensional, and we’re proud to be the original HSA provider for Vanguard funds.
- Investment limits. Many HSA providers won’t let you invest your funds until you reach a certain limit (like $1,000 or $2,000). At HealthSavingswe believe every dollar should have the chance to grow for you. We offer first-dollar investing with no minimum balances for all our funds, even Vanguard Admiral Class Shares.
- Fee structure. How much are you going to be charged? Are there any hidden fees that will eat away funds without you knowing? At HealthSavings, our funds have a 75% lower average expense ratio, meaning more of your money goes to work for you.
- FDIC insurance. Any funds you don’t invest should be insured by the Federal Deposit Insurance Corporation (FDIC). If your HSA provider doesn’t offer this, run the other way. All non-invested funds at HealthSavings are 100% FDIC-insured.
- Experience in the business. Make sure you’re choosing a seasoned HSA provider, not a company that’s just getting off the ground. At HealthSavings, we’ve been helping people invest their healthcare dollars for over 20 years, and we’ve been in the HSA business since they were enacted in January 2004. We’ve seen it all, and we’ll bring that knowledge to work for you.
If you’re looking to build for a healthier future by investing your HSA, HealthSavings is the hands-down choice. Ready to get started? Begin the enrollment process here.