HSAs See Solid Investment Returns

Health savings accounts saw a year over year increase of 25% in assets—including from contributions and investments.

Health savings accounts (HSAs) held $24.2 billion in assets as of December 31, 2014, including $21 billion in contributions and $3.2 billion from investments, according to an analysis of the HSA market from Devenir.

This is an increase of 25% for HSA assets from December 31, 2013. Devenir says that during 2014, health plans were the leading driver of new HSA account growth, accounting for 35% of new accounts.

The average balance of an HSA investment account holder is $12,995, including contributions and investments.

These accounts achieved an average annualized return of 12.5% over the last three years, according to the analysis. In 2014, $19.4 billion was contributed to HSA accounts, while $13.2 billion was withdrawn, leaving $6.2 billion carried forward into 2015. (See “Feasibility of HSAs as Retirement Savings Strategy”)

The Devenir research report is available here.