HSA is best for s-corp owner
originally posted: 11/22/2006 reposted: 2/18/2011 This post has not been recently reviewed or revised by the author and may be out of date. If you notice an error or are in doubt, please send a new question by email or ask for an update. Email asktony@tonynovak.com.
Q: Can you help with a couple questions so I know what plan is best for me. My situation is I am the only employee of a s-corporation that I am the 100% owner. I'm over 55 years old, am single with no dependents. My insurance deductible is $1000. My understanding is since I'm 100% owner and the only employee of an s-corporation, the only medical savings/reimbursement or flexible spending account I qualify for is the Health Savings Account. My next question is how much can I contribute per year and what are the administrative costs you charge for this type of account?
A: Yes, a health savings account is the obvious choice for you. Just make sure your policy is changed to meet the HSA requirements especially the minimum deductible of $1100 for 2007. You can then set up a basic account at no cost; just open an account online at www.healthsavingsaccount-hsa.com and mail in your initial deposit in any amount up to $1000. This site also has a lot of additional information that might be useful in your planning
Summary
More resources:
www.healthsavingsaccount-hsa.com