HSA Money and Taxes

Your health savings account touches your tax return, and the rules around money, contributions, and withdrawals can feel complicated at first. Premiums, withdrawals, investments, and COBRA coverage changes all have different tax angles and timing. This section walks through the main questions that come up around HSA money and taxes: what tax forms you'll see and what they actually mean, how to report contributions and distributions on your return, what you're allowed to invest your balance in, why some medical bills and insurance premiums matter for your account, and how major life changes like COBRA coverage affect your HSA.

If you're thinking about reimbursing yourself for a qualified medical purchase, you'll want a letter of medical necessity from a licensed clinician, which Burst can provide in about two minutes.

Every page here is sourced from IRS publications, health plan documents, and tax form instructions themselves, so you can feel confident about applying these rules to your own situation.