Self-employed, employed, unemployed? Cover qualified medical expenses with tax benefits.
Coughlin Medical Savings Accounts
In the United States, a medical savings account refers to a medical savings account program, generally associated with self-employed individuals, in which tax-deferred deposits can be made for medical expenses. Withdrawals from the MSA are tax-free if used to pay for qualified medical expenses. MSA account funds can cover expenses related to most forms of health care, disability, dental care, vision care, and long-term care, whether the expenses were billed through the qualifying insurance or otherwise.
Like an HSA, MSAs have tax benefits. The benefits include:
- Tax deductions for contributions you make
- Tax-free interest or other earnings
- Tax-free distributed money, if used for qualifying medical expenses
- Year-to-year rollovers for any contributions you make
- The MSA moves with you when you leave your employer or retire.
Like HSAs, MSAs have a limit on how much you can contribute each year without facing a penalty. However, MSAs are much more restrictive in how much and who can contribute. There’s an annual limit to contributions, as well as an income limit.
Interested in an insurance proposal at no obligation or cost?
Coughlin Insurance Services, Inc.
178 Myrtle Boulevard, Floor 2, Larchmont, NY 10538
Toll Free : (800) 542-0661 Tel: (914) 834-1234 Tel: (212) 593-0200