According to new data from Conduent, 43% of eligible employees don’t participate in a health savings accounts (HSA). 57% of those who make an HSA contribution don’t capture the full benefit, with an average contribution of less than $500, which is well below the annual limit of $3,650 for individuals and $7,300 for families.
The underutilization of HSAs means that employees aren’t maximizing the benefit of capturing tax savings and cost savings on day-to-day medications and other medical expenditures. The second missed opportunities for employees underusing the HSA is leveraging the value as a retirement vehicle.
