Flexable Spending Account for self employed

Re: Flexable Spending Account for self employed

PostBy: rberq On: Mon Jan 31, 2011 7:05 pm

MURDOC1 wrote:I figure I have another 30 years of working till retirement and if an HSA is still around all that time I could have some serious coin saved up for medical expenses in my golden years

Don't forget that, if the HSA rules remain the same for your next 30 years, you would also be able to treat the money like a 401(k). That is, at age 65 you could take it out for ANY reason, not just for medical expenses. For non-medical withdrawals you would pay normal income tax but no penalty. For medical withdrawals you pay no tax. But will the rules stay the same? 30 years is a long time.
rberq
 
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Re: Flexable Spending Account for self employed

PostBy: MURDOC1 On: Mon Jan 31, 2011 7:45 pm

rberq wrote:Don't forget that, if the HSA rules remain the same for your next 30 years, you would also be able to treat the money like a 401(k). That is, at age 65 you could take it out for ANY reason, not just for medical expenses. For non-medical withdrawals you would pay normal income tax but no penalty. For medical withdrawals you pay no tax. But will the rules stay the same? 30 years is a long time.


Thanks for pointing that out, I wasn't sure exactly how that worked once I reach 65... Cool deal, even more money to play with!!! One can only hope the rules remain the same because I know that I am NOT banking on social security being around when the time comes and to that I'm gonna be one pissed off S.O.B. if my hard earned dollars that I contributed to SS are not there when I come to get them!!! I am banking private investments to cover my entire retirement, if S.S. is there that's just a little more spending cash... All I can say is- what a sad state of affairs we are all in at this point in time and I see no improvement to come in the near future if ever!!!
MURDOC1
 
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Re: Flexable Spending Account for self employed

PostBy: rberq On: Mon Jan 31, 2011 9:17 pm

MURDOC1 wrote:I am NOT banking on social security being around when the time comes and to that I'm gonna be one pissed off S.O.B. if my hard earned dollars that I contributed to SS are not there when I come to get them!!! ... All I can say is- what a sad state of affairs we are all in at this point in time and I see no improvement to come in the near future if ever!!!

Well, I'm eligible for SS in a couple years, so you just keep paying in, please, so as not to rock my boat! Your cooperation is appreciated. :)
rberq
 
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Re: Flexable Spending Account for self employed

PostBy: jpete On: Tue Feb 01, 2011 8:59 am

Your money isn't in SS for a minute after it is deposited. It is instantly used to pay a current recipient. That's how Ponzi schemes work!

You'll have to hope enough people are working in 30 years to pay you or China is still willing to buy our debt.

I wouldn't get your heart set on seeing that money if I were you!
jpete
 
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