Re:Ask HN: US-based freelancers - how much is health insurance?
by sman on Monday June 14, 2010 @03:04PM
(#1430594)
I did not realize HSA could be rolled over. I am an employee and my place of employment offers an HSA thru AFLAC, but I remember the AFLAC rep stressing that it was a use it or lost it deal.
Re:Ask HN: US-based freelancers - how much is health insurance?
by mgkimsal on Monday June 14, 2010 @03:09PM
(#1430615)
That's not an HSA then - that's a 'cafeteria plan' thing I bet. HSA is your own account via an HSA-capable banking institution. It's basically just another IRA, but you can pay for medical expenses from it with no penalties.
The 'cafeteria plans', IMO, are a bit of a joke, specifically because of the 'use it or lose it' clause, which forces people to waste money or buy stuff they don't need.
I did have one HR person tell me once that they'd cut you a check back for the diff if it wasn't spent, but then it counts as 'taxable income' and this was said with some degree of gravity, as if that was some type of 'ultimate sin' - having taxable income! I'd rather keep the 70% of my money rather than spending it on something vaguely 'medical' that I do not need, thank you.
Re:Ask HN: US-based freelancers - how much is health insurance?
by krs on Monday June 14, 2010 @03:12PM
(#1430630)
The rep may have been talking about flexible spending accounts. FSAs are fine if you can predict how much you'll be spending on health care, but if you overestimate you will lose what you don't spend.
One big advantage of HSAs is that if you lose your job the HSA money is still there to draw on if you need it.
The price is highly dependent on what state you live in. In North Carolina, I have a high deductible plan with a $5500 deductible for $270/month, which covers my wife and I, both older than you, and we're not in perfect health.
A side benefit is that if you use a high-deductible plan, you're allowed to put money in a 'health savings account' which is tax deductible, and you can use that money to pay for pretty much any medical expenses you have. It rolls over year to year, and can be treated like any other retirement account (investments, etc).
If you go with more traditional 'i don't ever want to pay anything out of pocket' coverage, you'll likely be looking in the $500-$1000/month range, again, depending on what state you're living in.
For a single person in Michigan, for example, it might only be around $200 - http://www.bcbsm.com/myblue/plan_individualcareblue.shtml but similar coverage with a 'high deductible' might only be $60/month - http://www.bcbsm.com/myblue/plan_flexibleblue.shtml