What Happens to My HSA If I Change Jobs?

A Health Savings Account (HSA) is a personal savings account, so the funds are yours to keep and are portable when you change jobs. The money, including any contributions from your former employer, does not get forfeited when you leave. The funds remain in your account, available for qualified medical expenses, regardless of your employment status.

Managing Your Existing HSA

After leaving a job, one option is to keep the account with your current HSA administrator. You should inquire about potential changes in fees, as your former employer may have been covering maintenance fees that could become your responsibility. The funds can continue to be used for qualified medical expenses.

Another option is to move the funds to a different HSA, such as one offered by your new employer or an account you open independently. People move their funds to consolidate accounts, find an administrator with lower fees, or access more favorable investment options.

HSA Rollovers and Transfers

You can move HSA funds using two methods: a trustee-to-trustee transfer or a 60-day rollover. In a trustee-to-trustee transfer, the old HSA provider sends the money directly to the new one. You initiate this by contacting the new provider to complete their transfer paperwork, and this method has no annual limit.

The alternative is a 60-day rollover, where the old HSA administrator sends you a check for the account balance. You have a 60-day window from the date you receive the funds to deposit them into your new HSA. Failing to meet this deadline means the entire amount is treated as a taxable distribution and is subject to a 20% penalty if you are under age 65.

Continuing HSA Contributions

To make new contributions to an HSA after a job change, you must be enrolled in a qualifying High-Deductible Health Plan (HDHP). If you are not covered by an HDHP, you cannot add money to your account, but you can still use existing funds for medical costs.

If your new employer offers an HDHP and an associated HSA, you can make contributions through pre-tax payroll deductions, which reduces your taxable income. For 2025, the IRS annual contribution limits are $4,300 for self-only coverage and $8,550 for family coverage. Those age 55 and over can contribute an additional $1,000 as a catch-up contribution.

If your new employer does not offer an HSA, you can still contribute if you are enrolled in a qualified HDHP, such as through a spouse’s plan or the marketplace. You would make contributions with post-tax money and then claim a deduction on your annual tax return.