Question

S wants to open a tax-exempt health savings account. to qualify for this type of account, federal law dictates that s must be enrolled in a:

Answer 1

S wants to open a tax-exempt health savings account. To qualify for this type of account, Federal law dictates that s must be enrolled in a high-deductible health plan. Those who have a high-deductible health plan are often granted permission to have a tax-exempt health savings account. This type of account allows people to put money into it and withdraw tax-free. Due to how much they pay in medical bills, this allows them a little bit of extra money to contribute towards the bills by depositing the funds into a tax-free account.