With respect to federal taxation only. Contributions, investment earnings, and distributions may or may not be subject to state taxation.
2. Spending HSA money is tax-free when used to pay for qualified medical expenses.
3. Fidelity does charge a recordkeeping fee to employers who offer a Fidelity HSA to their employees. This is a common fee charged by HSA providers. Employers may choose to pass that fee on to their employees. At Fidelity, that fee may be up to $48/year, but it could be reduced or waived depending on the HSA balance. Zero account minimums and zero account fees apply to Fidelity Brokerage accounts only. Account minimums may apply to certain account types (e.g., managed accounts) and/or the purchase of some Fidelity mutual funds that have a minimum investment requirement. If you choose to invest in mutual funds, underlying fund expenses still apply. There may also be commissions, interest charges, and other expenses associated with transacting or holding specific investments (e.g., mutual funds), or selecting certain account features or types (e.g., managed accounts). Additionally, accounts that have been opened through, or are serviced by, an intermediary, or in connection with your workplace benefits, may incur additional fees or restrictions. See www.fidelity.com/commissions
for more information and/or the fund's prospectus for details.
4. Opening an HSA with a third-party provider, other than your employer, may limit your opportunity to use pre-tax payroll contributions. Although post-tax contributions are federal income tax-deductible, you will be required to pay FICA taxes. This means third-party HSAs may not be as tax-advantaged as employer-provided HSAs.
5. Investor's Business Daily® (IBD), February 2021: Best Health Savings Accounts Providers. Editors identified twelve best HSAs based on account features, customer reviews, benefit consultants' input, and Morningstar fund ratings. This rating is applicable to the Fidelity HSA® only.
6. Morningstar rated 11 retail HSA providers for two distinct use cases: HSAs as a spending account to cover current medical costs, and HSAs as an investment account to save for future medical expenses. Results published in "2019 Health Savings Account Landscape", "2020 Health Savings Account Landscape", and "2021 Health Savings Account Landscape". These ratings are applicable to the Fidelity HSA® only.
Fidelity Go® provides discretionary investment management for a fee. Advisory services offered by Fidelity Personal and Workplace Advisors LLC (FPWA), a registered investment adviser. Discretionary portfolio management services provided by Strategic Advisers LLC (Strategic Advisers), a registered investment adviser. Brokerage services provided by Fidelity Brokerage Services LLC (FBS), and custodial and related services provided by National Financial Services LLC (NFS), each a member NYSE and SIPC. FPWA, Strategic Advisers, FBS and NFS are Fidelity Investments companies.
The information provided herein is general in nature. It is not intended, nor should it be construed, as legal or tax advice. Because the administration of an HSA is a taxpayer responsibility, you are strongly encouraged to consult your tax advisor before opening an HSA. You are also encouraged to review information available from the Internal Revenue Service (IRS) for taxpayers, which can be found on the IRS website at IRS.gov. You can find IRS Publication 969, Health Savings Accounts and Other Tax-Favored Health Plans, and IRS Publication 502, Medical and Dental Expenses, online, or you can call the IRS to request a copy of each at 800-829-3676.
Investing involves risk, including risk of loss.
Before investing, consider the funds' investment objectives, risks, charges, and expenses. Contact Fidelity for a prospectus or, if available, a summary prospectus containing this information. Read it carefully.