HSA contributions
Contributions to HSA offer an immediate tax deduction, grow tax-free and can be withdrawn for qualified medical expenses.
“People may wish to consider enrolling in a High-Deductible Health Plan (HDHP) paired with Health Savings Account (HSA). Contributions to an HSA are tax-deductible and grow income tax-free. HSA funds can be used to pay for eligible healthcare expenses or can be saved for future health care expenses including long-term care. The maximum 2019 HSA contributions are $3,500 for an individual employee and $7,000 for an employee plus spouse/domestic partner, employee plus children or full family. There is no ‘use it or lose it’ concerns with HSAs,” added Scheer.
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Higher education costs
If you want to offset the cost of higher education, you might “receive a tax credit based on 100 percent of the first $2,000, plus 25 percent of the next $2,000, paid during the taxable year for tuition, fees, and course materials,” said Randy Tarpey CPA, Sickler Tarpey & Associates.
