HSA Family Plan

[Sparky]

Retired couple - one under 65 one over 65 and on Medicare. The younger always carried family health insurance. Can they open a family HSA and so they can contribute more or are they only limited to single coverage.

Also, same as above, but one spouse has Veterans benefits; could they do the family HSA?

considering all other criteria for HSA is met.
Thanks

[appelman]

From Pub 969:

"Other health coverage. You (and your spouse, if you have family coverage) generally cannot have any other health coverage that is not an HDHP. However, you can still be an eligible individual even if your spouse has non-HDHP coverage provided you are not covered by that plan."


and from the VA:

"HSA/HRA: Health Savings Accounts (HSA) cannot be utilized to make VA copays. In addition, if the Veteran receives any health benefits from the VA or one of its facilities, including prescription drugs, in the last three months, he/she will not be eligible for an HSA. Health Reimbursement Arrangements (HRA) is not considered health plans and third party payers cannot be billed."

I don't know if that entirely answers the question. Anyone else have thoughts?

[Sparky]

So can one spouse who meets the criteria of HDHP (and has no other insurance) carry a family plan, take the larger contribution deduction, and use the funds to pay for a spouses medical payments (even though she is on Medicare). We do live in a community property state and I would think if income has to be split so are expenses.

Regarding VA bills, these I take it could not be paid with "family plan" HSA funds.

[appelman]

I would think the answer is NO on the family plan,

based on my first quote. For the VA bills, I would say that they could not be paid with ANY HSA funds.