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Connecting Health & Wealth

A complicated combination to crack

Two of the greatest challenges Americans face today are healthcare and retirement. It's well known that each of those challenges are extremely complex but they’re also surprisingly interdependent. Ever-rising health care costs combined with staggering retirement projections make it difficult for Americans to build savings with confidence.

I want to:

1 Centers for Medicare and Medicaid Services
2 2017 Nerd Wallet Study: https://www.nerdwallet.com/blog/finance/survey-financial-health-basics/
3 2018 Vanguard https://investor.vanguard.com/retirement/savings/how-much-to-save

A connected solution

The beauty of intertwined problems is that they often have a connected solution. By themselves, HSAs and 401(k)s make significant strides. But their true magnitude can only be experienced when working together and optimizing every dollar in three ways:

  • Maximize tax savings when adding funds to the accounts while making the most dollars available for investing
  • Low-cost, thoughtful account growth through investments4
  • Maximize tax benefits when using the funds
4 Investments are subject to risk, including the possible loss of the principal invested and are not eligible for federal depository insurance by the FDIC or NCUA or guaranteed by HealthEquity. Before making any investments, review the fund’s prospectus.

Mutually benefitting employers

For every employee that uses an HSA-powered health plan, an employer saves a substantial amount in taxes (FICA, state and federal unemployment, etc). These savings can be used to further fund HSA and retirement nest eggs through larger matches or contributions. This in turn, provides employees with more to invest in a much more efficient manner which helps you keep your healthcare costs down. Instead of it being a vicious cycle, it’s a virtuous cycle.

Assumes 7% average annual investment return and 20% all-in tax 2018 tax rate for a family with $75,000 in annual income

The HealthEquity momentum booster

Our results speak for themselves. Our leading technology and educational resources empower members to save more, which saves our employer partners more. Our remarkable around-the-clock member support focuses on teaching account holders how to maximize their savings and make informed healthcare decisions.

Based on analysis of FY 2017 Network partner data vs Devenir 2016 year-end report average

Based on comparing FY 2017 sales results versus Devenir 2016 year-end report average

HealthEquity does not provide legal, tax, financial or medical advice.