A new report from J.P. Morgan provides more evidence of health savings accounts' growing popularity. The report isbased on the account activity of over 500,000 account holders in2009.

Forty-five percent of account holders had over $1,000 in cash intheir HSA at the end of 2009, up 10 percentage points from the2008. The report also noted that accounts with higher cash balancesare increasing. At the end of 2008, half of account holders had$500 or less in their accounts; today, 42 percent have a balance of$500 or less. Accounts with over $2,000 increased from 20 percentto 31 percent in 2009.

The average HSA total balance was $1,393 in the fourth quarterof 2009. However, the average HSA investment balance was over$6,000. Over half of investment balances were in equities, while 30percent were allocated to money market funds.

Complete your profile to continue reading and get FREE access to BenefitsPRO, part of your ALM digital membership.

  • Critical BenefitsPRO information including cutting edge post-reform success strategies, access to educational webcasts and videos, resources from industry leaders, and informative Newsletters.
  • Exclusive discounts on ALM, BenefitsPRO magazine and BenefitsPRO.com events
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.