Health Savings Account (HSA) Expansion: Who Benefits and How

Keywords: HSA expansion 2025, telehealth HSA rules, bronze plan HSA eligibility

The One Big Beautiful Bill significantly expanded HSA flexibility, making it easier for more people to qualify and use their accounts.

Telehealth Before the Deductible (Permanent Rule)

Starting with plan years on or after January 1, 2025:

• You can use telehealth and remote care before meeting your deductible

• You can still contribute to an HSA

• This rule is now permanent

This removes a major barrier that previously disqualified many participants.

Bronze & Catastrophic Plans Now HSA‑Compatible

Beginning January 1, 2026:

• Bronze plans

• Catastrophic plans

…are treated as HSA‑eligible, even if purchased outside an exchange. This opens the door for millions who were previously excluded.

Direct Primary Care (DPC) Arrangements

Starting January 1, 2026, certain DPC participants may:

• Contribute to an HSA

• Pay DPC membership fees using HSA funds

• Maintain tax‑free treatment

IRS Forms & Documentation

• Form 8889 (HSA reporting)

• Form 1040

• HSA contribution statements

• Insurance plan documentation

• https://www.irs.gov/newsroom/treasury-irs-provide-guidance-on-new-tax-benefits-for-health-savings-account-participants-under-the-one-big-beautiful-bill

Call for Public Comments

The IRS is accepting comments on this guidance through March 6, 2026.

This is one of the most taxpayer‑friendly healthcare changes in years.