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The Short Answer

Is a Health Savings Account Right for You?

HSAs can be supplemental savings vehicles for the healthy and wealthy, but others should steer clear.

Question: My company is offering a high-deductible health-care plan and health-savings account option starting this year. The premiums are much cheaper than they are for the traditional health-care plan (PPO), but I don't want to be penny-wise and pound-foolish.    

Answer: Your question is a timely one. It's benefits-enrollment season at most employers, and one option that's increasingly appearing on employee-benefits menus is a high-deductible health-care plan accompanied by a health-savings account. The percentage of firms offering a high-deductible health-care plan with a savings option increased from 32% in 2010 to 41% in 2011, according to a recent survey by the Kaiser Family Foundation.

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