Most people don't realize that health savings accounts are one of the best long-term savings vehicles in the market today. Paired with high-deductible health plans, HSAs are available to help pay for current qualified medical expenses as well as to save for future expenses, all in a tax-exempt account.

Many consumers continue to use their HSA the same way they use their flexible spending account—using available funds for current expenses. While that is an option with HSAs, it's not a requirement as the "use or lose it" rule doesn't apply with these accounts, and deposited funds are able to grow year-over-year, unlike FSAs. It is easy to understand where the confusion comes from as HSAs are still new to many consumers and are often overlooked in benefits education and communications.  

We believe there's a great need for employers to educate themselves—and employees—about all that HSAs can offer beyond paying for the current year's medical expenses. HSAs can serve as a powerful tool for long-term savings and as a key part of an overall retirement strategy to build wealth for both medical and other general retirement expenses, including tax-free Medicare premiums.