I'll try to be concise, both FSA and HSA administrators I've spoken to say 'Ask a tax professional', and I think I just have a general question.
? Can I start an HSA for 2012 and fund it for 2 or 3 months, then join an unrestricted FSA and suspend contributions to the HSA for the remainder of the year? I know you can't USE them both at the same time, but my question is the legality of having BOTH simultaneously. Here's my issues:
- Am Covered by a high deductible health plan (retiree from previous company)
- Currently have an employer-provided unrestricted FSA, will max out my expenses for 2011 so no carry over.
- Current employer has been bought by another company, but the purchase transaction won't complete until Feb/Mar 2012. We just had open enrollment for current emplyr.
- Current emplyr will not offer FSA for 2012.
- New emplyr WILL offer FSA, but I can't join until after the purchase deal is complete. I understand that qualified expenses between 1/1/12 and enrollment to FSA can't be reimbursed.
- I will have significant prescription and/or medical expenses in Jan/Feb 2012 before I can enroll in new emplyr FSA.
My thought was to start an HSA for 2012 now, fund it for $1,000 so I can be reimbursed for those early expenses, then join the FSA in March/April and suspend contributions to the HSA until some future time. What's the answer to this please?
Thanks in Advance!