What are the timing rules for employer and employee HSA contributions? What should be done if HSA contributions are submitted late?

8 thoughts on “What are the timing rules for employer and employee HSA contributions? What should be done if HSA contributions are submitted late?

  1. My employer has failed to contribute my bi-weekly contributions to my HSA account for up to 100 days at least 4 times in my 2 years of employment. They don’t even bother until I confront them. Isn’t there anything I can do to protect myself as an employee?

    1. I would like an answer to this too. I tried to use my HSA at the dentist and come to find out that my money was in my employer’s account. How is a deduction from my paycheck in my employer’s account?

    2. Amber,

      I am so sorry for the delay, my comments must not have gotten posted. There are multiple things you can do to protect yourself and make sure your employer is going things correctly. Please know, in these circumstances I would prefer a phone call to discuss. Are you free, I can schedule a time to talk this week.

  2. Dale,

    This is very concerning and should not happen – this means your employer may not be distributing your funds appropriately however each group may have unique time periods when these get distributed. H.S.A.s, F.S.A.s (Flexible Spending Account) and H.R.A.s (Health Reimbursement Arrangements) all are different pre-tax funding arrangements for insureds to use to pay claims. Not all of these may be offered at an employer but I think it is good for us to discuss further, it will help me provide you more specific information on how to work with your employer to make sure this is done correctly.

  3. who would someone contact if HSA funds have been withheld for long periods of time and never transferred to the recipients account. Is that a DOL issue?

    1. There are a few options, would you like to talk through those options? My office line is: 608.442.3734 and I would be happy to meet/ talk with you this coming week.

      Chris Noffke

  4. Can the HSA be dispersed in 4 parts over the whole year? What if I need to use my HSA money in the beginning of the year but it’s not available?

    1. An HSA unlike a FSA (flexible spending account) only allows you access to the money in the account at time of expense. In order to have access to all the funds you plan to contribute for the year, you would need to “front load” your account. Please know you can however make distributions to the HSA in any increments and frequency as long as it is at or under the single and family allowances.

      An HSA also can allow for you to invest more money into investment strategies. To make this even more attractive, these funds never expire, or have a use it or lose it requirement. The HSA will also not require you to start taking money out at a specific age.

      If you would like to talk more I would be happy to schedule some time with you!

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