Which is better, comprehensive plan or high-deductible plan with HSA?

Health Savings Accounts (HSAs) were created by the Medicare bill signed by President Bush on December 8, 2003. HSAs are a form of medical savings account that must be accompanied by a high-deductible health insurance plan. HSAs allow individuals/employers to set aside money on a pre-tax or tax-deductible basis and then withdraw the money tax-free to pay qualifying medical expenses. Use this calculator to help compare a traditional, low-deductible health plan to a high-deductible health plan accompanied by an HSA to cover out-of-pocket expenses.

Comprehensive Health Plan
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Amount you pay out of pocket before the comprehensive plan starts sharing costs.

%

Share of costs you pay after the deductible is met, until the maximum out-of-pocket is reached.

$

The most you would pay in a year for covered care under this plan, not counting premiums.

$

What you pay each month just to keep this plan active, regardless of care used.

High-Deductible Health Plan with HSA
$

Amount you pay out of pocket before the high-deductible plan starts sharing costs.

%

Share of costs you pay after the deductible is met, until the maximum out-of-pocket is reached.

$

The most you would pay in a year for covered care under this plan, not counting premiums.

$

What you pay each month just to keep this plan active, regardless of care used.

Other Assumptions
$

Your best estimate of total covered medical spending for one person this year, before insurance pays its share.

Advanced options 3
%

Used to value the tax savings from pre-tax HSA contributions; higher rates make the HSA more valuable.

Table of Federal Income Brackets and Rates. Tax Rate For Single Filers For Married Individuals Filing Joint Returns For Heads of Households 10% $0 to $11,925 $0 to $23,850 $0 to $17,000 12% $11,925 to $48,475 $23,850 to $96,950 $17,000 to $64,850 22% $48,475 to $103,350 $96,950 to $206,700 $64,850 to $103,350 24% $103,350 to $197,300 $206,700 to $394,600 $103,350 to $197,300 32% $197,300 to $250,525 $394,600 to $501,050 $197,300 to $250,500 35% $250,525 to $626,350 $501,050 to $751,600 $250,500 to $626,350 37% $626,350 or more $751,600 or more $626,350 or more.

Self-only or family coverage, which affects HSA contribution limits.

$

Any amount your employer adds to your HSA, which reduces what you need to fund yourself.