Invest In Your Health: Old National Bank Hsa Guide

The HSA Authority by Old National Bank is one of the most experienced administrators of Health Savings Accounts (HSAs). Introduced in 2004, it currently services over 105,000 HSAs across all 50 states, with nearly $200 million in HSA assets and deposits. HSAs are a smart tool to help prepare for current and future medical expenses and can also be used to boost retirement funds. This article will explore how to invest funds in an Old National Bank HSA, including the various investment options available and the associated fees.

HSA Authority's investment lineup includes 31 mutual funds, 17 from Vanguard

The HSA Authority by Old National Bank is one of the most experienced Health Savings Account administrators. They were among the first to bring HSAs to the market in 2004 and today service over 105,000 HSAs in all 50 states, with nearly $200 million in HSA assets and deposits.

The HSA Authority offers its participants a pre-selected investment lineup of 31 mutual funds, 17 of which are from the Vanguard family. This includes a range of funds such as Foreign Developed Markets Equity, Emerging Markets Equity, Short & Intermediate Term Fixed Income, and Target Date/Allocation.

The HSA Authority stands out for its low-cost funds, with an emphasis on low-cost index funds, resulting in low expense ratios across all major asset classes. The investment account requires a balance of at least $1,000 in the HSA checking account, after which you can transfer all your money to the investment account if desired.

The HSA Authority also offers an FDIC-insured, interest-bearing account for participants who prefer not to invest their HSA dollars in the equity markets. In terms of fees, they charge a $36 investment fee with no other apparent charges.

While The HSA Authority offers a well-constructed, globally diversified investment lineup, there are some drawbacks. Transfers from the HSA account to the investment account must be manually initiated, and the main website and investment platform are separate, requiring different passwords. Additionally, The HSA Authority does not offer an auto-rebalance feature or a receipt storage tool.

HSA Authority has a $1000 balance requirement to access the investment account

The HSA Authority by Old National Bank is one of the most experienced Health Savings Account (HSA) administrators in the market. They were among the first to introduce HSAs in 2004 and currently service over 105,000 HSAs across all 50 states, with nearly $200 million in HSA assets and deposits.

The HSA Authority has a unique feature that requires a minimum balance of $1000 in the HSA checking account before you can access the investment account. This means that you need to maintain a balance of at least $1000 in your HSA checking account at all times if you want to utilise the investment account. Once you reach this balance, you are free to transfer all your money to the investment account if you wish, as there is no requirement to keep any amount in the HSA checking account.

The HSA Authority offers a pre-selected investment lineup, which includes 31 mutual funds, with 17 of them being from the Vanguard family. They also provide an FDIC-insured, interest-bearing account for participants who are hesitant to invest their HSA dollars in the equity markets. This interest-bearing account is a good option for those who want to keep their funds easily accessible for short-term qualified medical expenses.

It is important to note that The HSA Authority charges a $2 monthly fee for electronic statements and a $36 investment fee. Additionally, they do not offer automated account transfers to the investment account, and you will need to manually transfer funds through their investment platform.

HSA Bank offers a simplified brokerage experience with a large range of stocks

Investing in a Health Savings Account (HSA) is a smart way to prepare for future medical expenses or boost your retirement funds. One of the most experienced HSA administrators is The HSA Authority by Old National Bank, which has been on the market since 2004.

The Choice option, one of three investment options, offers a simplified brokerage experience with a large range of stocks. You can download the list of available investments in the Choice option, though it may change as the investments are continuously monitored by the SEC-registered investment advisor.

Annual asset-based fees may be applied on a quarterly basis and deducted from the investment balance. The annual fees are 0.10% for Choice, which is waived through 2025. HSA Invest annual fees for the Choice option will also be waived for any quarter when your average HSA cash balance for that quarter is $7,500 or more.

HSA Invest offers a seamless experience to manage savings, spending and investing

The HSA Authority by Old National Bank is one of the most experienced Health Savings Account administrators. They were among the first to bring HSAs to the market in 2004 and today service over 105,000 HSAs in all 50 states, with nearly $200 million in HSA assets and deposits.

HSA Invest, offered by HSA Bank, provides a seamless experience to manage your savings, spending, and investing on one website and one app. This program offers three investment options: Choice, Select, and Managed. These options provide thoughtfully chosen securities aligned with your HSA and financial objectives.

The Choice option offers a simplified brokerage experience with a large range of stocks, mutual funds, exchange-traded funds (ETFs), and more. This option is ideal for experienced investors who may not need professional guidance.

The Select option provides a recommended list of mutual funds, specific to your unique risk tolerance and investment objectives. All funds are selected by a registered investment advisor (RIA) and give you the opportunity to make the final decision about your investments and allocations.

The Managed option offers an even higher level of personalization, where an RIA actively manages and rebalances your investments on your behalf. This option is for those who want their investments completely managed by a professional.

HSA Invest also offers several features to simplify investment management, including same-day enrollment and funding, real-time and fractional share trading, automatic dividend reinvestment, and online access to your account history and balance information.

With HSA Invest, you can seamlessly manage your savings, spending, and investing all in one place, making it a convenient and powerful tool for those with Health Savings Accounts.

HSA Invest waives annual fees for accounts with an average cash balance of $7500 or more

The HSA Invest program offers a seameless experience to manage your savings, spending, and investing on one website and one app. The annual asset-based fees are 0.10% for Choice, 0.25% for Select, and 0.35% for Managed options. However, these fees are waived for any quarter in which your average HSA cash balance is $7500 or more.

For example, for every $1000 you invest, you would pay $0.25 per quarter for Choice, $0.62 per quarter for Select, and $0.87 per quarter for Managed. So, if your average HSA cash balance is $7500 or more for a quarter, you will not be charged these fees for that quarter.

It is important to note that fees may vary if your HSA is through your employer. You can view the exact annual fees on the Member Website under "Manage Investments."

Frequently asked questions