This week, the House Ways and Means Committee, chaired by Rep. Kevin Brady (R-TX), is voting on a series of bills aimed at expanding consumer-directed health care and lowering premiums.
The legislation being voted on by the Committee does so by focusing on Health Savings Accounts (HSAs). By modernizing and expanding access to HSAs, families will be better able to plan and save for their health care needs. And patients will have an off-ramp from Obamacare’s rising premiums by allowing more choice and financial assistance both on and off government-sponsored exchanges.
Nearly 30 conservative leaders wrote to Chairman Brady and Health Subcommittee Chairman Peter Roskam (R-IL) in support of the Committee’s efforts to expand HSAs. These leaders noted that expansion of HSAs will:
- “contribute to lower healthcare spending by promoting consumer driven healthcare” and
- “reduce taxes for American families.”
CLICK HERE or read below to see the full letter.
CLICK HERE to learn more about this week’s markup.
Dear Chairman Brady & Chairman Roskam:
On behalf of the undersigned organizations, we write in support of your Committee’s efforts to expand tax-advantaged Health Savings Accounts (HSAs). HSAs promote consumer driven healthcare, reduce taxes for families, and encourage lower healthcare spending.
There are numerous important pieces of legislation that your Committee is considering that will improve HSAs including proposals to double the contribution limit, end the prohibition on purchasing over-the-counter medications, expand access to HSAs, and allow HSAs to be used by working seniors.
Since they were created in 2004, HSAs have become a popular and successful vehicle that promotes patient choice in health care. HSAs are used in conjunction with low premium, high deductible health insurance plans and provide a vehicle for individuals to spend and control their own money on their own health needs. Today, HSAs are used by over 25 million American families and individuals.
HSAs contribute to lower healthcare spending by promoting consumer driven healthcare. HSA funds are completely controlled by the individual and follow them between jobs creating an incentive to spend funds wisely.
Research shows that families and individuals that utilize HSAs spend less on health care and use fewer medical services without forgoing necessary primary and preventative care.
HSAs are already a significant vehicle to pay for healthcare expenses. An HSA user can accumulate as much as $360,000 after contributing to an account for 40 years assuming a rate of return of just 2.5 percent, according to the Employee Benefit Research Institute. With a rate of return of 5 percent, an HSA user can accumulate $600,000 over 40 years.
HSAs also reduce taxes for American families. HSAs offer triple tax benefits to users – contributions made are tax free, interest and investment is earned tax free, and payments made to qualifying health expenses are tax free. Expanding HSAs will provide additional tax reduction for American families and will promote saving and investment.
Since they were created almost 15 years ago, HSAs have proven successful in promoting healthcare choice, lowering taxes and lowering healthcare costs. Expanding HSAs will build on this success.
Sincerely,
Grover Norquist
President, Americans for Tax Reform
James L. Martin
Founder/Chairman, 60 Plus Association
Saulius “Saul” Anuzis
President, 60 Plus Association
Dan Weber
Founder and President, Association of Mature American Citizens
Ashley N. Varner
Executive Director, ALEC Action
Lisa B. Nelson
CEO, American Legislative Exchange Council
Brent Wm. Gardner
Chief Government Affairs Officer, Americans for Prosperity
Norm Singleton
President, Campaign for Liberty
Bob Carlstrom
President, The Carlstrom Group
Thomas Schatz
President, Council for Citizens Against Government Waste
Star Parker
President, CURE (Center for Urban Renewal and Education)
Katie McAuliffe
Executive Director, Digital Liberty
Palmer Schoening
President, Family Business Coalition
Patrick Purtill
Director of Legislative Affairs, Faith & Freedom Coalition
Nathan Nascimento
Executive Vice President, Freedom Partners Chamber of Commerce
Jason Pye
Vice President of Legislative Affairs, FreedomWorks
Grace Marie Turner
Founder and President, Galen Institute (Affiliation listed for information purposes only.)
Naomi Lopez Bauman
Director of Healthcare Policy, Goldwater Institute
Jeff Kanter
Co-founder, Health Freedom Hub
Daniel Perrin
Executive Director, HSA Coalition
Dean Clancy
President, HSAs for All
Mario H. Lopez
President, Hispanc Leadership Fund
Carrie Lukas
President, Independent Women’s Forum
Heather R. Higgins
CEO, Independent Women’s Voice
Andrew Langer
President, Institute for Liberty
Daniel Garza
President, The LIBRE Initiative
Gov. Gary Johnson
Honorary Chairman, Our America Initiative
Pete Sepp
President, National Taxpayers Union
David Williams
President, Taxpayers Protection Alliance
Nancy Piotter
Executive Director, Virginians for Quality Healthcare