3 Tips for High Deductible Health Savings Plans

Using a high deductible health savings plan is something that many employees are forced into. More businesses than ever before are using these to try and deflect some of the high costs of health care to their employees. With a high deductible, it is necessary to save money for those unexpected medical bills. With a health care savings plan, employees can deduct a percentage out of their paycheck tax free to put into the plan. This will help them cover their high deductible should something need to be done. If you've never been involved in one of these plans before, there are a few tips that you should keep in mind.

1. Learn about Your Plan

There are many different high deductible policies combined with health savings plans. If you have a deductible that is considered high, you are eligible for a plan. Before you get started, learn everything you can about the plan. While it may not be the most interesting thing for you to learn about, it could save you thousands of dollars in the long run. Learn all of the potential stumbling blocks to your policy before you find them the hard way.

2. Assess Your Needs

Once you learn about your plan, you need to assess what your medical needs will be. It is impossible to be completely accurate in this estimate, however you should give it your best shot. What have your medical bills been over the last five years. If your bills have been at a steady amount over that time, you should probably budget that much for your savings account. Maybe increase the amount by 10% or so and plan accordingly. If you don't know what certain medical procedures cost, do some research. If you think that you might have to have something done in the future, get on the internet and find out how much it costs on average. This will give you an idea of how much you need to save. Give as much as you can right off the bat to your savings plan. While it might seem like a large percent of your check, it probably won't be noticeable since you are giving before taxes.

3. Don't Put Off Treatment

Many people that have high deductible plans tend to put off treatment when they know they need it. While it might make sense financially, it does not make sense in any other way. Your health is all you have. If you save $1000 and end up dying because of it, what did you gain? You're not going to be around to spend the $1000. There is a difference between going to the doctor for every little thing and going when you know something is seriously wrong. You can probably avoid going for every little cold and cough that you get. However, when something seems serious, get it checked out. Hospitals will set up payment plans with you and allow you to pay them back slowly.

blog comments powered by Disqus