justme
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Post by justme on Apr 10, 2019 20:56:23 GMT -5
Anyone here investing their HSA? My HSA through my employer (optum) charges $3 a month to invest. Wondering if there's another bank I can put my investing part in that doesn't charge $36 a year plus whatever fund expenses.
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schildi
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Post by schildi on Apr 10, 2019 21:40:55 GMT -5
The hands down best and least expensive HSA available for investing is the one offered by Fidelity. It's fairly new, available just since November of last year. I opened mine on that day. Be careful to educate yourself about the transfer / rollover options for HSA money. Basically, the Fidelity HSA itself has no fees, no minimums and you can invest in anything Fidelity offers.
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schildi
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Post by schildi on Apr 10, 2019 21:42:55 GMT -5
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TheHaitian
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Post by TheHaitian on Apr 11, 2019 8:42:31 GMT -5
I have Bank of America through my employer and no fee to invest!
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justme
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Post by justme on Apr 11, 2019 9:38:16 GMT -5
Thanks! I was just doing the math and right now I have a small enough amount in there that the $36 fee will wipe out pretty much any gains I make! Though they take the fee out of my non-investment account so it doesn't look like that's what they're doing.
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schildi
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Post by schildi on Apr 11, 2019 10:44:26 GMT -5
I have Bank of America through my employer and no fee to invest! <iframe style="position: absolute; width: 19.779999999999973px; height: 2.9200000000000017px; z-index: -9999; border-style: none;left: 15px; top: -5px;" id="MoatPxIOPT0_98574564" scrolling="no" width="19.779999999999973" height="2.9200000000000017"></iframe> <iframe style="position: absolute; width: 19.78px; height: 2.92px; z-index: -9999; border-style: none; left: 933px; top: -5px;" id="MoatPxIOPT0_59484594" scrolling="no" width="19.779999999999973" height="2.9200000000000017"></iframe> <iframe style="position: absolute; width: 19.78px; height: 2.92px; z-index: -9999; border-style: none; left: 15px; top: 87px;" id="MoatPxIOPT0_34401124" scrolling="no" width="19.779999999999973" height="2.9200000000000017"></iframe> <iframe style="position: absolute; width: 19.78px; height: 2.92px; z-index: -9999; border-style: none; left: 933px; top: 87px;" id="MoatPxIOPT0_19488243" scrolling="no" width="19.779999999999973" height="2.9200000000000017"></iframe> What are the investment choices? Probably fairly limited (target retirement funds?) and/or high operating expenses? And I am sure BoA charges fees for non-employer accounts, so that probably would not help justme much then.
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Tiny
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Post by Tiny on Apr 11, 2019 11:26:14 GMT -5
ugh. I didn't pay attention to my HSA investments - and after the first year I discovered the "core" money market option charged a $2 per month fee while the account was less than 3K I had been splitting up my contribution between a couple of funds and the "core" account. I thought I had read that withdrawls could only be made from the "core" account. which was why I was putting some $$ there - I was anticipating possibly using the money in the 2nd or 3rd year of having the HSA. Anyways, to get rid of the $2 fee - I changed my allocations to get to 3K in the core account as quickly as possible. And then I redid the allocations so I'd eventually build up the core account to 3500 ($500 to be used without penalty) and the rest to the other options. So for the first 24 months of having the HSA - I paid the $2 a month fee. Is there some "threshold" you need to get to get rid of the "investment fee" on what sounds like your "core" account? (I will say it seemed like a money grab of $24 a year - because I would think that people who were using the HSA for yearly expenses - would probably NEVER get the 'core' account over the 3K... )
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justme
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Post by justme on Apr 11, 2019 11:42:38 GMT -5
We have a monthly fee of $0.50 if our regular account is below $500. From everything I can tell there's no cut off to charge $3/month for investing - just that I have to have $2000 in the regular part after a transfer to investing.
It says there's a $20 outbound transfer or rollover to another HSA Custodian!!!!!!!!!!!!!! Holy shit! I wonder if that's only if they initialize it? If I ask for the transfer through another HSA will they still charge the $20?? That's freaking highway robbery!
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schildi
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Post by schildi on Apr 11, 2019 13:08:45 GMT -5
We have a monthly fee of $0.50 if our regular account is below $500. From everything I can tell there's no cut off to charge $3/month for investing - just that I have to have $2000 in the regular part after a transfer to investing. It says there's a $20 outbound transfer or rollover to another HSA Custodian!!!!!!!!!!!!!! Holy shit! I wonder if that's only if they initialize it? If I ask for the transfer through another HSA will they still charge the $20?? That's freaking highway robbery! For transfers, yes, they will probably charge you that fee every time.
But: You can do a 60 day rollover instead, but you can only do that once in any 12 months period. For example, you can open a Fidelity HSA, and then write a check from your other HSA to yourself and deposit that into the Fidelity HSA. That's not considered to be a transfer by your current HSA custodian, so there should be no fee. Then you can invest in the Fidelity HSA with no fees, no minimums, etc. If you read through the link I posted above, you'll get all of that information.
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justme
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Joined: Feb 10, 2012 13:12:47 GMT -5
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Post by justme on Apr 11, 2019 13:21:01 GMT -5
We have a monthly fee of $0.50 if our regular account is below $500. From everything I can tell there's no cut off to charge $3/month for investing - just that I have to have $2000 in the regular part after a transfer to investing. It says there's a $20 outbound transfer or rollover to another HSA Custodian!!!!!!!!!!!!!! Holy shit! I wonder if that's only if they initialize it? If I ask for the transfer through another HSA will they still charge the $20?? That's freaking highway robbery! For transfers, yes, they will probably charge you that fee every time.
But: You can do a 60 day rollover instead, but you can only do that once in any 12 months period. For example, you can open a Fidelity HSA, and then write a check from your other HSA to yourself and deposit that into the Fidelity HSA. That's not considered to be a transfer by your current HSA custodian, so there should be no fee. Then you can invest in the Fidelity HSA with no fees, no minimums, etc. If you read through the link I posted above, you'll get all of that information.
Geeze, that's a lot of effort, but glad to know there's a way around it. I'll go back and re-read because I wasn't planning on doing a full roll-over (want to keep the money in my work one over the limit and have some funds available) figured I could just transfer. But apparently not! Though, paying $20 once a year to transfer is cheaper than the $36 they're charging me to keep it there. It's such a rip-off that banks can charge so much money for electronic transfers! Crud, now the link is giving me an error. It worked earlier.
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schildi
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Post by schildi on Apr 11, 2019 21:29:28 GMT -5
For transfers, yes, they will probably charge you that fee every time.
But: You can do a 60 day rollover instead, but you can only do that once in any 12 months period. For example, you can open a Fidelity HSA, and then write a check from your other HSA to yourself and deposit that into the Fidelity HSA. That's not considered to be a transfer by your current HSA custodian, so there should be no fee. Then you can invest in the Fidelity HSA with no fees, no minimums, etc. If you read through the link I posted above, you'll get all of that information.
Geeze, that's a lot of effort, but glad to know there's a way around it. I'll go back and re-read because I wasn't planning on doing a full roll-over (want to keep the money in my work one over the limit and have some funds available) figured I could just transfer. But apparently not! Though, paying $20 once a year to transfer is cheaper than the $36 they're charging me to keep it there. It's such a rip-off that banks can charge so much money for electronic transfers! Crud, now the link is giving me an error. It worked earlier. Not sure I follow you. You can do a rollover every 12 months for $0. What is the "lot of effort" here? Not sure the rollover is any more effort than the transfer you are thinking about. I've been doing the rollovers for the last 6 or 7 years, and the effort is minimal.
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justme
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Post by justme on Apr 11, 2019 21:35:52 GMT -5
Geeze, that's a lot of effort, but glad to know there's a way around it. I'll go back and re-read because I wasn't planning on doing a full roll-over (want to keep the money in my work one over the limit and have some funds available) figured I could just transfer. But apparently not! Though, paying $20 once a year to transfer is cheaper than the $36 they're charging me to keep it there. It's such a rip-off that banks can charge so much money for electronic transfers! Crud, now the link is giving me an error. It worked earlier. Not sure I follow you. You can do a rollover every 12 months for $0. What is the "lot of effort" here? Not sure the rollover is any more effort than the transfer you are thinking about. I've been doing the rollovers for the last 6 or 7 years, and the effort is minimal.
Because the other way I could do it all online. Which my HSA says it charges for transfers. So I'd have to do a partial rollover instead which I assume is not the same thing as a transfer since a transfer costs me $20.
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Deleted
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Post by Deleted on May 1, 2019 12:20:46 GMT -5
The hands down best and least expensive HSA available for investing is the one offered by Fidelity. It's fairly new, available just since November of last year. I opened mine on that day. Be careful to educate yourself about the transfer / rollover options for HSA money. Basically, the Fidelity HSA itself has no fees, no minimums and you can invest in anything Fidelity offers. Fidelity's HSA offering is a game changer, a no fee account combined with the option of investing in the no expense ratio FZROX Total Market Index/FZILX International fund was too good to pass up, I opened my account this week. With Vanguard dumping their cash management account and not offering an HSA like this it has created an opening for Fidelity to get my business back at least on those components. With them now actually beating Vanguard on a lot of expense ratios on their passive funds they may get all of it back.
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schildi
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Post by schildi on May 1, 2019 13:18:00 GMT -5
The hands down best and least expensive HSA available for investing is the one offered by Fidelity. It's fairly new, available just since November of last year. I opened mine on that day. Be careful to educate yourself about the transfer / rollover options for HSA money. Basically, the Fidelity HSA itself has no fees, no minimums and you can invest in anything Fidelity offers. Fidelity's HSA offering is a game changer, a no fee account combined with the option of investing in the no expense ratio FZROX Total Market Index/FZILX International fund was too good to pass up, I opened my account this week. With Vanguard dumping their cash management account and not offering an HSA like this it has created an opening for Fidelity to get my business back at least on those components. With them now actually beating Vanguard on a lot of expense ratios on their passive funds they may get all of it back. It is very convenient to have all (or at least many / most) accounts consolidated at one provider. That was another factor for me in opening the HSA at Fidelity. Yes, there is no other HSA provider that comes even close to Fidelity in terms of low fees, convenience, investment options, etc.
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Deleted
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Post by Deleted on May 1, 2019 17:20:49 GMT -5
Another happy Fidelity customer here. I had mine with HealthSavings.com but the Vanguard Wellington fund in which I'd invested my HSA funds had lost its luster and there were fees if you didn't leave some in cash (float for them to play with, I guess). I had them write me a check, took it to a Fidelity office and got a receipt that showed it was an HSA rollover, and was done. Investment results are so much better with Fidelity.
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