HealthEquity HSA Review for Spenders
HealthEquity was incorporated in January 2002, in Tucson, Arizona, by Stephen D. Neeleman MD and David Hall to re-introduce consumerism into health care (known as consumer-driven health care [CDH]). It moved its incorporation to Draper, Utah in February 2004. HealthEquity offers a complete line of integrated health care accounts. It administers 4.0 million health saving accounts and has over $8.3 billion in deposits.
Report Card for HealthEquity
as a Spending Vehicle
Fees for Individuals (Non-Employer Group)
The best HSAs for spenders are characterized by low maintenance fees. HealthEquity’s $2.95 monthly maintenance fee is the steepest of all the top administrators in our study. The monthly maintenance fee can be avoided by holding $2,000 in the HSA checking account. To avoid this fee, consider maxing out your HSA as quickly as possible.
The best HSAs for spenders also have very few additional fees that are layered on top of the maintenance fee. These fees are not recurring in nature, but can be incurred by the account holder if they undertake a certain action. HealthEquity’s fee schedule has a moderate amount of additional fees.
Below we have reconstructed HealthEquity's fee schedule to exhibit fees spenders are most likely to encounter.
- Monthly Fees
- 3Paper Statements$1
- Behavioral Fees
- Excess Contribution$20
- Stop Payment$20
- Point of Sale$0
- ATM Withdrawal$0
- Check Distrtibution$2
- 4Replacement Card$5
2Equates to 0.40% annual fee on all invested assets
3Free Electronic Statements
43 free; $5 for each additional card if three originals are lost, stolen or damaged
In the chart below you can compare HealthEquity's fees to those of its competitors.
When you, your spouse, and your dependents have qualified medical expenses that aren’t covered by your health care plan, you can use your HSA money tax-free to pay for them. There are multiple ways you can spend from your HSA.
(✔) Debit Card
The debit card can generally be used at merchants that provide medical, dental or vision services. For example, doctors offices and pharmacies.The card will not work at ATMs
(✔) Bill Pay
After you have received an invoice from your provider and matched it with an EOB from your health plan, you can use the HealthEquity member portal to set up a direct payment using their online payment tool. HealthEquity will send the payment to the provider and include all of the information necessary to apply the payment to your bill.
Not available. HealthEquity offers free online bill pay through the HealthEquity member portal.
You can pay for qualified medical expenses out-of-pocket and reimburse yourself anytime using your HSA money. As long as you opened your HSA before the expense was incurred, your reimbursement will be tax-free. You can:
HealthEquity connects your HSA account to your bank, making reimbursements for expenses easy and straightforward. This makes it easy to reimburse yourself for medical expenses paid out-of-pocket.
(✖) ATM Withdrawls
No ATM withdrawals allowed. The debit card will not work at ATMs and will typically only work at appropriate medical facilities.
HealthEquity can also send you a check in the amount you authorize to reimburse yourself. $2 reimbursement check fee.
The HealthEquity member portal provides a user-friendly interface for easy, self-service account management. Using the HealthEquity member portal, you can check your balance, review transactions, view insurance claims, invest in mutual funds, pay providers and submit for reimbursement.
Customer Service Team
Access to a team of HSA expert customer service representatives. Live service 24/7/365—get the same service at 2 am or 2 pm from knowledgeable, US-based HealthEquity Member Services specialists.
The HealthEquity mobile app provides easy, on-the-go access to all of your health accounts. The free app provides comprehensive tools to help you manage transactions and maximize your health savings. The HealthEquity mobile app features include:
Photo Documentation - Simply take a photo with your device to initiate claims and payments.
Payments & Reimbursements -You can send payments to providers or reimburse yourself for out-of-pocket expenses from your HSA.
Manage Debit Card Transactions - Link your debit card transactions to claims and documentation.
View Claims Status - View the status of claims as well as link payments and documentation to claims
Automatic Health Plan Integration
The unique relationship between over 120 health plans and HealthEquity allows for true data integration. HealthEquity’s proprietary technology allows claims, eligibility, and other data to be imported directly into their flexible system. This results in a smooth experience with less paperwork and powerful tools. Their flexible platform also allows integration with third-party engagement applications, such as price transparency tools and telemedicine.
Archive and manage receipts, explanations of benefits (EOBs), invoices, and more in one central location
Intuitive, step-by-step process
Documents archived on safe, secure servers
No need to keep originals that can get lost or damaged
Pros & Cons
- 24/7 access to customer service team
- Multiple reimbursement methods
- Receipt storage tool
- Feature-rich mobile app
- Maintenance fees can only be avoided if HSA balance is greater than $2,500
- Opaque maintenance fee disclosures
Which participants are best suited for a HealthEquity HSA?
Those who plan on having at least $2,500 in base HSA account. No monthly maintenance fee would be incurred under these circumstances.
Participants looking for a feature-rich HSA offering. HealthEquity HSA is a premium offering with tons of bells and whistles.
Dual-purpose use (spender/investor). HealthEquity is a top 10 investment HSA.