As Americans contend with economic volatility and rising costs for everyday items and needs, including healthcare, employers need tools to support them and ease financial stress.
In fact, 40% of HR leaders reported a rise in employee financial stress according to a recent study by Lively. Health Savings Accounts, which offer tax-free savings, investing, and spending on health-related expenses, have long been a strategy for account holders to save for both the short and long term. With the cost of health insurance and healthcare on the rise, the right HSA provider matters more than ever. Here’s what to look for in 2025.
Lively HSA account balances were 35% higher than the industry average on January 1.
The average balance of Lively’s HSA accounts, including unfunded accounts, was $4,923, compared to the industry average of $3,639.
of HR leaders expect health insurance costs to rise 10 - 35% in the next year.
HSAs can help offset higher costs of health insurance and healthcare.
of HR leaders feel that offering competitive financial benefits is more important than a year ago.
These benefits can help ease financial stress and offer long term value to companies and their people.
Health Savings Accounts help account holders afford the higher cost of healthcare.
HSA put money in account holders' pockets by offering a “triple tax advantage.” Money enters tax free, either as a pre-tax or tax-deductible contribution and can be spent tax-free on thousands of qualified healthcare expenses. HSAs are designed to work with High Deductible Health Plans (HDHPs) and are often among the most affordable plans employers can offer. An HSA offsets the higher deductible, offering account holders both savings and peace of mind.
HSA balances can grow tax-free through earned interest and investments. Once an account holder turns 65 they can treat their HSA as they would a retirement account, with tax-free spending on health-related expenses and other withdrawals taxed at their current tax rate. Because of these advantages, Lively is focused on helping account holders grow their balance and maximize their accounts to ensure a longterm, healthy future.
What drives higher balances?
In order for account holders to take full advantage of their HSA, an HSA platform must be easy to use for both account holders and benefits administrators, offer excellent education and support, and have streamlined access to investing. At Lively we believe in empowering account holders with the information, flexibility, and options they need to make the most of their HSA balances and have more money available for the care they need, when they need it.
We put account holders first.
From a streamlined digital platform and mobile app, to transparent pricing and low fees, we make setting up, contributing to, and using an HSA easy.
We focus on service and education.
Lively’s in-house, expert customer service team ensures that account holders get answers to their questions - and 90% of cases are resolved on the the first interaction.
We put investing within reach.
With first-dollar investing and multiple investment options, including self-direct and guided portfolio and the ability to invest from the HSA dashboard, Lively simplifies HSA investing.
Why HSAs remain a critical benefit in 2025
For companies looking to help their employees reduce financial stress, support financial wellness, stay on top of their health, and plan for the future, Health Savings Accounts are a crucial offering. As the economy and prices remain volatile, HSAs are an important resource to help make more healthcare affordable and accessible. However, not every HSA provider is created equal. An HSA provider that offers flexibility, support, and accessibility will better enable account holders to grow their balance and a financially healthy future.
Lively is the health and wellness benefits provider that gets it right.
Lively currently offers HSA, FSA, HRA, commuter, COBRA, Direct Bill, Lifestyle Spending Accounts, and Medical Travel Accounts.
Reach out to us at sales@livelyme.com
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