U.S. Rep. French Hill (R-AR) introduced a bill this week that would update the contribution rules for Health Savings Accounts (HAS).
The HSA Spouse Catch-Up Act, cosponsored by Rep. Greg Steube (R-FL), is designed by families to save even more for their health care and provide greater flexibility and financial security in planning for the future.
Under current law, HSAs can be used by an individual to cover qualifying medical expenses for themselves, their spouse, and their family. However, a married couple cannot contribute catch-up contributions to the same account. That’s because only individuals aged 55 and older may make additional catch-up contributions—and those contributions can currently be made only to their own HSA. They are not permitted to make catch-up contributions to a spouse’s account, even though HSA funds can already be used to cover a spouse’s medical expenses.
The Catch-Up Act would fix this gap by allowing married individuals to make catch-up contributions to their spouse’s HSA.
“Health savings accounts are a smart way for families to plan for medical expenses, but the current rules do not reflect how real families make decisions and manage daily life. Right now, spouses can use their HSA to pay for each other’s medical care, but they cannot make catch-up contributions to each other’s accounts. It is a ridiculous rule that needs to be changed. We need to give Americans the flexibility to plan, save, and make health care decisions that work for their families. That is why I am glad to partner with Representative Steube on this commonsense fix that will make it easier for families to support each other and take control of both their health and their finances,” Hill said.