HEALTH SAVINGS ACCOUNTS
Most employees who use HSAs keep their money in cash, and overall investing is modest, a PSCA survey indicated.
Investment assets in health savings accounts dropped slightly in 2022 for the first time due to "significant stock market headwinds," an annual survey found.
Investments other than cash in health savings accounts remain low even though the percentage has been rising slowly in recent years.
More employers are using automatic enrollment into health savings accounts as part of an effort to position the accounts more as savings vehicles.
While health savings account assets have grown at a more than 30% annualized rate over the past 15 years, only 9% of accounts have investment assets.
Making investments within HSAs is growing, but researchers and advocates say providers and sponsors must do more to accelerate the pace.
