for what can i use my hsa money
Your HSA dollars can be used to help pay the health insurance deductible and any qualified medical expenses, including those not covered by the health insurance, like dental and vision care. Any funds you withdraw for non-qualified medical expenses will be taxed at your income tax rate, plus 10% tax penalty.
Then thereâs the 20% penalty (up from 10% to help pay for Obamacare). It applies if you use the money youâve saved in the account for non-medical expenses before age 65; once you turn 65, you can use HSA money for non-medical expenses without facing the 20% penalty, but youâll still owe income taxes.