U.S. Reps. Bob Latta (R-OH) and Stephanie Bice (R-OK) have offered legislation that would allow senior citizens enrolled only in Medicare Part A to make tax-free contributions to health savings accounts (HSAs).
The Stop Penalizing Working Seniors Act, H.R. 2769, which Rep. Latta sponsored on April 20 with three original cosponsors, including Rep. Bice, would fix a technicality prohibiting individuals who are receiving Social Security benefits from contributing to their HSA accounts, according to a bill summary provided by the congressman.
“Seniors should have the ability to continue saving for their present and future health care costs,” Rep. Latta said. “Unfortunately, many working seniors who are enrolled in Medicare Part A are currently not allowed to continue contributing to their crucial Health Savings Accounts.”
“This unnecessary barrier limits our seniors’ health care options, which is why I am leading the Stop Penalizing Working Seniors Act to ensure seniors are able to access and pay for their healthcare needs,” he added.
Under current law, once an individual starts collecting Social Security benefits, he or she is automatically enrolled in Medicare Part A, disqualifying the person from making any further contribution to their HSA account, the summary says, noting that H.R. 2769 would remove the prohibition on HSA contributions if the individual was enrolled solely in Medicare Part A.
“I am proud to be an original cosponsor of Rep. Latta’s legislation, the Stop Penalizing Working Seniors Act,” said Rep. Bice. “With rising inflation, we must continue to provide relief for those on fixed incomes.”
H.R. 2769 has been referred to the U.S. House Ways and Means Committee for consideration.