Announcement

Collapse
No announcement yet.

HSA funds after death if no spouse

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

  • #16
    Originally posted by GasFIRE View Post
    Past bills are "any qualified medical expenses", they just haven't been reimbursed yet. I send a copy to my CPA for the same reason this thread was started, just in case. She knows the rules, family members probably won't remember. My plan is still to spend the account down to $0.
    The IRS document says "paid by the beneficiary" up to a 1yr after death. Also that at death the HSA stops being an HSA (if bene is non-spouse).

    To me this reads that old medical bills that were paid by post-tax money by ME prior to my death don't count?

    Comment


    • #17
      Originally posted by Snag75 View Post

      The IRS document says "paid by the beneficiary" up to a 1yr after death. Also that at death the HSA stops being an HSA (if bene is non-spouse).

      To me this reads that old medical bills that were paid by post-tax money by ME prior to my death don't count?
      I guess we interpret that statement differently. To me "any qualified medical expenses" would include bills paid by the HSA owner but not yet actually reimbursed (paid) from the HSA account. While I'm not a tax attorney, I'm not too worried about that clause as that's how my CPA interprets the rules. While I just copied one line from the publication, the totality of the document makes it clear you are allowed tax-free distributions for qualified expenses. You're final return would probably have to include Form 8889 to document this. Hopefully jfoxcpacfp or spiritrider can weigh in on the question.

      Comment

      Working...
      X