Health savings accounts provide a way for people with high-deductible health plans to plan for out-of-pocket expenses. You can set aside pretax funds, use the money to pay medical bills and even invest the balance in your account. And you can pick from numerous account administrators, whether or not your employer offers an HSA plan. So you want to focus on the best HSA accounts.
Where to start your search? IBD editors have identified 12 Best HSAs based on account features, customer reviews, benefit consultants' input and Morningstar fund ratings.
The HSA providers are listed by total accounts. We didn't give an overall ranking, but we named which Best HSAs were Category Award winners in four areas: Investment Quality, Investment Options, Low Fees and Interest Rates. Click on the names below for details on that HSA company, or use the bar at the bottom to scroll through the carousel with all 12. (Unclick the name to return to the carousel.)
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Best Health Savings Account Providers For 2021:
| HealthEquity | |
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Category Awards: Investment Quality, Interest Rates, Low Fees |
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Number of accounts 5.5 million |
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Fees* $0.00 per month for individual account holders; excess contribution refund request $20; $25 closing fee; monthly investment fee: 0.03% on daily invested balance, capped at $10 per month; this single investment fee covers all investment account record keeping, administration and custodial roles and responsibilities. No fees are charged on assets above $33,333. Neither HealthEquity nor its affiliates in the investment offering receive third-party compensation from anyone; optional web-based roboadvisor tool for 0.05% on avg. daily invested balance capped at $15/month. |
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Investment options 23 Vanguard mutual funds. |
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Minimum balance $0 |
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Features Debit card, checks, online banking, 24/7 support, mobile app, optional web-based investment advisory tools, webinars. |
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FDIC insured** Yes |
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Investment threshold $500 (individual/family plan); $0-$2,000 (employer plan). |
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Interest rate Up to 1.5% depending on balance tier and account type. |
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| Optum Bank | |
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Category Awards: Investment Quality, Investment Options |
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Number of accounts 4.6 million |
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Fees* Fees vary based on size of employer (if applicable) and balances. In all cases, fees are waived when deposits exceed $3,000. |
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Investment options Fully discretional 'robo' experience, leading mutual fund platform with 31 mutual funds and a wide variety of low-expense-ratio funds, as well as a DIY, self-directed brokerage account offering. |
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Minimum balance NA |
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Features Debit card, checks, online banking, mobile app, web-based roboadvisor tool, qualified medical expense search checkup tool, HSA contribution tracker, Health Savings Checkup tool for retirement expense prediction. |
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FDIC insured** Yes |
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Investment threshold $2,000 (individual/family plan); can vary by employer plan. |
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Interest rate Up to 0.01% depending on balance tier. |
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| HSA Bank | |
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Category Awards: Investment Quality, Investment Options |
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Number of accounts 3 million |
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Fees* $2.50/month (free if HSA cash account > $3,000); $25 account closing fee and no monthly investment fee; TD Ameritrade self-directed brokerage account $0 commissions on online stock, ETF and options trades; Devenir self-directed mutual fund investment program has a 0.3% annual asset-based fee, HSAdvisor+ has a 0.3% annual asset-based fee. |
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Investment options TD Ameritrade self-directed brokerage account for stocks, bonds, ETFs and mutual funds; Devenir self-directed no-load mutual funds; HSAdvisor+ advisor-sold custom mutual funds. |
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Minimum balance $0 |
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Features Debit card, checks, online banking, mobile app, self-service online dashboard to track health-care receipts and claims, 24/7 customer service. |
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FDIC insured** Yes |
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Investment threshold $1,000 |
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Interest rate Up to 0.2% based on balance tier. |
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| Fidelity Investments | |
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Category Awards: Investment Quality, Investment Options, Low Fees |
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Number of accounts 1.76 million |
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Fees* Zero separate fee to invest. Commission-free trades1. Zero account transaction fees2. No record-keeping fee for individuals; record-keeping fee of up to $4/month for employer-based plans (may be covered by employer). |
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Investment options Self-directed brokerage platform with 10,000+ mutual funds (including zero expense ratio and zero investment minimum index mutual funds), stocks, ETFs, bonds, CDs, Fidelity HSA Funds, a curated list of 35 active and passive fund options with zero account minimums. Two new HSA-specific mutual funds: Fidelity Health Savings Fund and Fidelity Health Savings Index Fund. Dollar-based investing with fractional shares also available. |
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Minimum balance $0 |
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Features Debit card, checks, online banking, auto investing, HSA investment recommendation tool, tools to help determine how much to keep in cash for short-term qualified medical expenses. |
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FDIC insured** Yes |
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Investment threshold $0 |
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Interest rate Choice of money market fund with 7-day yield of 0.01% as of 1/25/21, or FDIC-insured sweep with a yield of 0.01% (no tiers). |
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| UMB Healthcare Services | |
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Category Awards: Investment Quality |
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Number of accounts 1.4 million |
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Fees* $2.95/month (waived if balance >$3,000); $25 account closing; $3/month investment fee; no trading fees. |
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Investment options 34 preselected mutual funds, including target-date funds. |
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Minimum balance $0 |
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Features Debit card, online banking, online receipt storage. |
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FDIC insured** Yes |
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Investment threshold $1,000 |
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Interest rate Up to 0.15% based on balance tier. |
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| Bank of America | |
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Category Awards: Investment Quality |
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Number of accounts 1.06 million |
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Fees* $2.50/month (fee could be waived by employer). |
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Investment options 39 low-cost mutual funds, including target-date funds. |
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Minimum balance None |
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Features Debit card, mobile app, HSA savings calculator, 24/7 customer care, online chat. |
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FDIC insured** Yes |
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Investment threshold $1,000 |
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Interest rate Up to 0.07% based on balance tier. |
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| Further | |
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Category Awards: Investment Quality, Investment Options, Interest Rates |
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Number of accounts About 600,000 |
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Fees* From $1 to $4/month administrative fee based on account type; Investment fee $18/yr.; Schwab trading fee: $0 online trade; $0-$5/automated phone; $0-$25 broker-assisted. |
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Investment options 30 mutual funds; self-directed brokerage: 2,000+ commission-free ETFs, stocks, bonds, 2,500 mutual funds via Charles Schwab. |
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Minimum balance $0 |
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Features Debit card, online banking, mobile app. |
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FDIC insured** Yes on Further Select HSA. |
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Investment threshold $1,000; $10,000 for self-directed Charles Schwab accounts. |
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Interest rate Up to 0.70% based on balance tier and account type. |
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| HSA Authority (Old National Bank) | |
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Category Awards: Investment Quality, Interest Rates, Low Fees |
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Number of accounts 98,000 |
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Fees* $0 monthly fee. Free online enrollment. Paper enrollment $14.99. Manual account opening $20. Account closing fee $25. Investment fee: $36/year. |
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Investment options 31 non-load mutual funds. |
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Minimum balance $0 |
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Features Debit card, checks, online banking, mobile app, "planning tools" and fund research. |
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FDIC insured** Yes |
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Investment threshold $1,000 |
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Interest rate Up to 0.5% based on balance tier. |
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| HealthSavings Administrators | |
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Category Awards: Investment Quality, Investment Options |
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Number of accounts 80,000+ |
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Fees* $36 annually; $25 account closing; $25 excess contribution fee. |
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Investment options 42 Vanguard and Dimensional mutual funds. |
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Minimum balance $0 |
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Features Debit card, online banking. |
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FDIC insured** Yes |
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Investment threshold $0 |
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Interest rate Up to 0.25% based on balance tier. |
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| Saturna HSA | |
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Category Award: Investment Options |
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Number of accounts 4,667 |
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Fees* No monthly fee on Saturna-affiliated mutual funds. Trading fees for stocks: $14.95/trade online; $24.95 broker assisted. Trading fees for options $19.95/trade online; $29.95 broker-assisted; Trading fees for bonds $39.95 broker-assisted plus $1 per bond. |
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Investment options Saturna-affiliated mutual funds and/or self-directed brokerage for access to unaffiliated funds, mutual funds, stocks, ETFs, bonds. |
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Minimum balance $0 |
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Features Electronic funds transfer, online account access. |
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FDIC insured** No3 |
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Investment threshold $0 |
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Interest rate NA |
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| Evansville Teachers Federal Credit Union | |
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Category Awards: Low Fees, Interest Rates |
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Number of accounts 2,690 |
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Fees* No management fees. |
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Investment options CDs available with $1,000 minimum balance. |
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Minimum balance $0 ($500 to earn dividends). |
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Features Debit card, checks, online banking. |
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FDIC insured** Federally insured by the National Credit Union Administration. |
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Investment threshold $1,000 for CDs. |
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Interest rate Up to 2.01%. |
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| Lively | |
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Category Awards: Investment Quality, Investment Options, Low Fees |
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Number of accounts NA |
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Fees* No fees for individuals/families; employers pay $2.95/employee/month; $0 commissions for online stocks, ETFs, option trades at TD Ameritrade; $6.95/trade of OTC stocks not listed on U.S. exchanges; 0.5% annual for invested assets in Devenir's HSA Guided Portfolio. |
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Investment options Via TD Ameritrade self-directed brokerage account: 550+ commission-free ETFS, 13,000+ mutual funds, stocks, bonds, CDs, (non-margin) options trading; HSA Guided Portfolio by Devenir offering 24 mutual funds. |
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Minimum balance $0 |
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Features Debit card, online banking, mobile app, account dashboard. |
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FDIC insured** Yes |
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Investment threshold $0 |
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Interest rate Up to 0.01% based on balance tier. |
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