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S. 5297

BillFederalSenateIn Committee
To amend the Internal Revenue Code of 1986 to increase the limitations on contributions to health savings accounts, and for other purposes.
About This Bill
Committee
Latest Action · November 12, 2024
Read twice and referred to the Committee on Finance.
Congress
118th (2023–2025)
Introduced
November 12, 2024
Cosponsors (0)
None
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Summary

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The Health Savings Accounts For All Act of 2024 significantly expands and simplifies health savings accounts (HSAs) by increasing contribution limits, removing eligibility restrictions, and expanding what expenses can be covered. The bill ties HSA contribution limits to 401(k) contribution limits, which automatically adjust annually for inflation, and allows people age 50 and older to make additional catch-up contributions. It removes the requirement that people must be enrolled in a high-deductible health plan to use an HSA, making these accounts available to anyone, and eliminates complex rules that previously governed HSA usage. The legislation also expands qualifying expenses to include vitamins, dietary supplements, gym memberships, wearable fitness trackers, and direct primary care arrangements, and allows HSA funds to be rolled over to family members including children and parents rather than just surviving spouses. Additionally, the bill provides bankruptcy protections for HSAs comparable to those for retirement accounts and allows people to use HSA funds to pay for qualifying medical expenses incurred before opening an account. These changes take effect for tax years beginning after the bill's enactment.

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