"Max" <max[at]no-spam.invalid> wrote:

- quote -

He's right, you're not. Can't be done.

--
David M. Woods, EA, ChFC, CLU
Woods Financial Services
Norwood, MA 02062
www.woods-financial.com

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Max wrote:

- quote -

You can't roll an IRA into an HSA. The only rollovers
permitted for an HSA are from another HSA or an Archer MSA.
An HSA is established by going to a qualified trustee or
custodian to open an account, much in the same way you open
an IRA. Only cash may be contributed to an HSA.
For more information on HSAs see the IRS Notice below:
http://www.treas.gov/press/releases/...otice20042.pdf

--
Alan
http://taxtopics.net

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I've got $1,000 sitting in my bank in a traditional IRA. I
made a one time deposit into this account 2.5 years ago and
it has sat there accruing little to no interest. Actually,
the annual fees are more than the annual interest. Since the
stock market is so dicey these days I haven't gotten around
to investing in something more lucrative than the nominal
interest the bank pays me.

I am self employed with a high deductible health insurance
plan that I pay for. I want to open an Health Savings
Account so I can shelter some income from taxes and have a
nest egg to tap if and when I have a medical problem.

My question is, can I just transfer the money from the IRA
to the HSA without paying taxes on it? The insurance guy
setting up the HSA says I can't do this. Since it is going
from one tax deferred account to another I would guess I
could.

As HSAs are a new program I'm hoping this guy is wrong.

Anybody know if IRAs can be rolled over to an HSA tax free?

Thanks.

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