Investing your HSA dollars has many potential tax benefits and can be an additional way to save for long-term health care needs and financial goals. HSAs are triple tax advantaged, making them an effective savings and investment account. Not only are HSA contributions tax-advantaged, but all interest earnings and investment growth is also income tax-free.

Once your HSA reaches a balance of $2,000, you may choose to invest a portion of your HSA dollars. Optum offers the following investment opportunities:

OPTUM FINANCIAL SELF-DIRECTED MUTUAL FUNDS

• You can choose from a variety of over 30 mutual funds that average a four-star Morningstar rating and represent some of the lowest expense ratios in the industry, including life stage funds.

BETTERMENT DIGITALLY MANAGED INVESTMENTS

• Betterment helps take the guesswork out of investing your HSA. Based on your HSA investment goals, Betterment will recommend a personalized portfolio of low-cost exchange traded funds (ETFs) and help keep your HSA investment on track through auto-deposits and automated rebalancing.
• If you’re saving your HSA for retirement, Betterment can also help you manage your investments alongside your other retirement accounts to help you maximize your after-tax retirement income.
• And remember, any investment earnings such as interest or dividends are income tax-free.

CHARLES SCHWAB HEALTH SAVINGS BROKERAGE ACCOUNT (HSBA)

• The health savings brokerage account (HSBA) offered by Charles Schwab can satisfy the more sophisticated, demanding investors who want more investment choice.
• With Charles Schwab as our 401(k) Retirement Plan administrator, this option allows participants to view all retirement options in a single consolidated location.