Maximize Your Health Care Savings with a Self-Directed Health Savings Account (HSA)
A Self-Directed HSA lets you save and invest for future medical expenses, giving you control to grow funds on your terms—so you’re prepared when you need it.
Why Choose IRA Financial As Your Self-Directed HSA Provider?
A Self-Directed HSA, paired with an HDHP, covers a wide range of medical expenses while growing your savings tax free. By choosing IRA Financial as your Self-Directed HSA provider, you can invest beyond traditional investment options, and unused funds roll over yearly for long-term healthcare savings.
- No Hidden Fees: No commissions or surprise charges.
- 24,000+ Clients: Trusted by investors in all 50 states.
- Expert Support: Live chat available 9AM–6PM EDT.
- HSA Specialists Will maximize Self-Directed HSA savings.
- Flexible Investing: Invest in stocks, real estate, crypto, etc.
- Full Control: Manage your account or have us facilitate transactions.
How to Open an HSA
Opening a Self-Directed HSA is fast and straightforward. Our simple process ensures you can start investing in your health care savings without hassle. With just a few steps, you’ll have full control over your funds while staying IRS-compliant and maximizing your tax benefits.
Open an account |
Step 1:Setting up a Self-Directed HSA is easy. Start by opening a new account with us here. |
Get your Self-Directed Coverdell ESA account number |
Step 2:Once approved, you’ll receive your Self-Directed HSA account number to move forward. |
Fund your account |
Step 3:Transfer, roll over, or contribute funds directly to your HSA to start investing. |
The Benefits of Self-Directed HSAs
A Self-Directed Health Savings Account provides greater control and flexibility in managing health care savings, allowing you to invest in a wider range of assets while maintaining the tax advantages of a traditional HSA.
Contributions grow tax free, and withdrawals for qualified medical expenses remain untaxed, maximizing the long-term value of your savings.
Withdraw funds tax free for qualified medical expenses, ensuring you get the most value from your HSA savings.
Move beyond traditional stocks and bonds to invest in alternative assets such as real estate, private equity, cryptocurrency, and precious metals, providing greater diversification.
Make independent investment decisions without relying on limited brokerage options, giving you the ability to tailor your portfolio to your financial goals.
Funds roll over indefinitely, unlike FSAs, which have a “use it or lose it” policy. After age 65, you can withdraw funds for any purpose (not just medical expenses) without penalty (note: non-medical withdrawals will be taxed like regular income).
Self-Directed HSA vs. Other Options
| Feature | Self-Directed HSA | Standard HSA | Flexible Spending Account (FSA) |
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Tax-Free Contributions & Withdrawals Contributions are pretax, and withdrawals for medical expenses are tax free. |
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Tax-Free Investment Growth Funds grow tax free through all the investments you choose to make. |
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Alternative Investments Ability to invest in traditional investments, such as stocks, ETFs, and mutual funds, as well as alternative assets, like real estate and cryptos. |
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Control Over Investments Full authority over how, where and when funds are invested. |
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Funds Roll Over Unused funds stay in your account year after year. |
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Retirement Flexibility After 65, funds can be withdrawn for any purpose (subject to income tax). |
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Custodian Requirement An IRS-approved custodian must hold the account. |
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Book a free call with a self-directed retirement specialist
- Review your self-directed retirement options
- Learn about investing in alternative assets
- Get all of your questions answered
What alternative assets can I invest in with a Self-Directed HSA?
At IRA Financial, you can invest beyond traditional stocks and mutual funds. Our Self-Directed HSA lets you diversify into:
- Real Estate – Residential, commercial, raw land, and rental properties.
- Cryptocurrency – Bitcoin, Ethereum, and other digital assets.
- Private Equity – Invest in startups, private companies, and venture capital.
- Tax Liens & Deeds – Acquire property liens for potential returns.
- Precious Metals – Gold, silver, and other IRS-approved metals.
- Hard Money Lending – Act as a private lender and earn interest.
Self-Directed HSA FAQs
A Self-Directed HSA is a type of retirement account, managed by a custodian, that lets you invest your health savings account in a wide range of assets instead of just cash, stocks, or mutual funds. Since HSA funds roll over indefinitely and grow tax free, they can serve as a powerful retirement health savings tool.
- Triple tax advantage: Contributions are tax-deductible, growth is tax-free, and qualified medical withdrawals are tax-free.
- No Required Minimum Distributions (RMDs) like IRAs/401(k)s, meaning you can let funds grow indefinitely.
- Penalty-free non-medical withdrawals after age 65, functioning similarly to a traditional IRA if needed.
- At age 65+, you can withdraw for non-medical expenses penalty free (but regular income tax applies).
- Medical expenses are always tax free, making HSAs a valuable tool for health care costs in retirement.
- Funds can be used for Medicare premiums, long-term care, and out-of-pocket medical costs without tax.
No, you cannot contribute to an HSA once enrolled in Medicare (typically at age 65). If you delay Medicare enrollment and stay on a high-deductible health plan (HDHP), you can continue contributing.
- Spouse as beneficiary: He or she inherits the HSA and can use it as his or her own.
- Non-spouse beneficiary: The HSA is liquidated and taxed as income in the year of inheritance. To minimize tax impact, consider spending down your HSA on medical expenses in retirement.
- Not keeping receipts: You can reimburse yourself later for past medical expenses, but only if you keep records.
- Engaging in prohibited transactions: The IRS does not allow collectibles, personal property or certain self-dealing transactions.
- Forgetting about the Medicare cutoff: If you enroll in Medicare but keep contributing to your HSA, you’ll face penalties.
