Updated
Updated · jrreport.wordandbrown.com · Sep 1
HSA Balances Hit Record $5,532 in 2024 as Nearly 20% of Holders Invest
Updated
Updated · jrreport.wordandbrown.com · Sep 1

HSA Balances Hit Record $5,532 in 2024 as Nearly 20% of Holders Invest

1 articles · Updated · jrreport.wordandbrown.com · Sep 1

Summary

  • $5,532 was the average HSA balance in 2024, a record high in EBRI’s review of 15.2 million accounts holding $53.76 billion in assets.
  • Account tenure helped drive that growth: EBRI found longer-held HSAs tend to have larger balances, higher contributions and a greater likelihood of investing rather than staying in cash.
  • $2,308 was the average worker contribution in 2024, up as employees took a slightly larger share, while average employer contributions fell to $727; few holders contributed the annual maximum.
  • More than half of holders took distributions, averaging $1,870, while balances still trailed 2024 out-of-pocket maximums of $8,050 for individual coverage and $16,100 for family plans.
  • Nearly 1 in 5 holders invested HSA assets in non-cash options, extending an eight-year rise that EBRI said could better position workers for future medical and retirement costs.

Insights

With average HSA balances hitting record highs, are employees actually building wealth, or just delaying crucial medical care to hoard cash?
Can the triple tax advantage of HSAs truly offset the financial risk of high-deductible healthcare, or is it a trap?