Skip to main content

HSA Calculator

Discover how the triple tax advantage of a Health Savings Account can supercharge your tax savings, investment growth, and retirement readiness.

$1,230
Annual Tax Savings
$135,985
HSA Balance at Retirement
$30,762
Total Tax Savings

HSA Details

2025 limit: $4,150 (self-only coverage)

Results

Annual Tax Savings
$1,230
Income tax: $913 + FICA: $317
HSA Balance at Retirement
$135,985
After 25 years of growth
HSA vs Taxable Advantage
$26,619
Extra from tax-free growth
Total Tax Savings (25 yrs)
$30,762
Effective contribution$4,150/yr
Amount invested/yr$2,150
Taxable account balance$109,367

Key Insights

Triple Tax Advantage

HSAs are the only account offering a triple tax benefit: tax-deductible contributions, tax-free growth, and tax-free withdrawals for medical expenses. No 401(k), IRA, or Roth account can match all three.

Invest, Don't Just Save

Many HSA holders leave their funds in cash, missing out on years of tax-free compounding. If you can cover current medical expenses from your regular budget, invest your HSA for long-term growth.

Catch-Up at 55+

Once you turn 55, you can contribute an extra $1,000 per year to your HSA on top of the standard limit. This catch-up provision helps older savers maximize their tax-advantaged healthcare nest egg before Medicare eligibility at 65.

Frequently Asked Questions

Important Disclaimer

This HSA calculator is for educational and informational purposes only. The projections are estimates based on the assumptions you provide and do not constitute personalized financial, tax, or medical advice.

Tax Savings Estimates: Actual tax savings depend on your complete tax situation, including state income taxes, deductions, credits, and whether contributions are made pre-tax through payroll. FICA savings apply only to payroll-deducted contributions.

Investment Returns: The default 7% return is based on long-term market averages but is not guaranteed. Actual returns will vary and may be significantly higher or lower.

HSA Eligibility: You must be enrolled in an IRS-qualifying High-Deductible Health Plan (HDHP) and meet other requirements to contribute to an HSA. Contribution limits and rules may change each year.

Professional Advice: Consult a qualified financial advisor, CPA, or tax professional for guidance tailored to your specific circumstances.

Ready to Maximize Your HSA Strategy?

Let Warren AI build a personalized plan that combines your HSA with your broader investment and retirement strategy.