[Fidelity Health Savings Account Mega-Thread]

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veggivet
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by veggivet » Fri Nov 16, 2018 3:29 pm

I just received a secure message from my Fidelity rep: He said that the assets from TD Ameritrade will come over online, but HSA Bank requires a hand signature for their TOA form. Fidelity is overnighting that document to me, and providing an overnight mailer for me to use for return.
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jeffyscott
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by jeffyscott » Fri Nov 16, 2018 3:52 pm

Global100 wrote:
Fri Nov 16, 2018 2:28 pm
southerndoc wrote:
Fri Nov 16, 2018 1:52 pm
I opened my Fidelity account, but the site is a little cumbersome to find answers to things.

1. How do I request an HSA debit card? I also need one for my wife.

2. Is there a way to automatically invest funds when you make deposits?

3. Will Fidelity automatically sell funds to cover costs or is there a cash balance that must be maintained?
1. Could be more advantageous to charge a medical bill onto one of your own credit cards which earns rewards, and then later pay that charge with funds from the HSA distribution. Document it on Form 8889.

I don't think there is any special documentation on that form? It's a qualified withdrawal either way and the HSA administrator includes it on form 1099-SA.

We pay all medical bills with a credit card for the rebates and bonuses and then have the funds transferred from HSA to checking account. Fidelity offer a 2% credit card, themselves, so taking the HSA debit card would be like volunteering to pay a 2% transaction fee on all medical expenses.

I have no interest is automatic selling or a debit card, myself, but they do offer a debit card for the HSA, don't know about automatic selling. The cash account on the HSA is a low interest FDIC bank account (0.31% for balance of $5K or less), though that's better than most other HSA cash accounts. I don't plan to keep anything in the cash account.
Time is your friend; impulse is your enemy. - John C. Bogle

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Hayden
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by Hayden » Fri Nov 16, 2018 6:00 pm

I entered it all online - very clear instructions from Fidelity. The TD Ameritrade transfer went through. For HSA Bank, Fidelity provided the completed form as a PDF, told me to print, sign, and mail back to them along with a copy of my account statement.

Question: does transferring all monies close the account at HSA Bank? Or do I need to contact them separately to make sure the account is closed?

veggivet
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by veggivet » Fri Nov 16, 2018 7:00 pm

Hayden, I don't know for sure whether or not you'd need to contact HSA Bank, but I plan on doing so. I can picture them charging their monthly fee for having less than $5000 with them until the total gets to the point where they report me as delinquent. I will budget about an hour for the call: 50 minutes on hold, and 10 minutes for the rep to check with his/her supervisor to see how to close an account! :confused
If you watch your pennies, your dollars will take care of themselves.

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Hayden
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by Hayden » Fri Nov 16, 2018 7:30 pm

veggivet wrote:
Fri Nov 16, 2018 7:00 pm
Hayden, I don't know for sure whether or not you'd need to contact HSA Bank, but I plan on doing so. I can picture them charging their monthly fee for having less than $5000 with them until the total gets to the point where they report me as delinquent. I will budget about an hour for the call: 50 minutes on hold, and 10 minutes for the rep to check with his/her supervisor to see how to close an account! :confused
:sharebeer

danaht
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by danaht » Fri Nov 16, 2018 8:08 pm

Hayden wrote:
Fri Nov 16, 2018 6:00 pm
I entered it all online - very clear instructions from Fidelity. The TD Ameritrade transfer went through. For HSA Bank, Fidelity provided the completed form as a PDF, told me to print, sign, and mail back to them along with a copy of my account statement.

Question: does transferring all monies close the account at HSA Bank? Or do I need to contact them separately to make sure the account is closed?
Did you do an in-kind transfer of all your stocks/ETFs? Did TD Ameritrade charge a transfer fee or an account closing fee?

Depending on your answer - I'll do whatever incurs less fees. I am also interested in switching to Fidelity and getting the $5000 in the HSA Bank Savings account invested finally (at Fidelity). I'll still have my Optum HSA account with my current employer (so i'll still have $5000 in the Optum account doing nothing - but that's better than $10,000 doing nothing)

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jeffyscott
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by jeffyscott » Fri Nov 16, 2018 8:11 pm

Hayden wrote:
Fri Nov 16, 2018 6:00 pm
I entered it all online - very clear instructions from Fidelity. The TD Ameritrade transfer went through. For HSA Bank, Fidelity provided the completed form as a PDF, told me to print, sign, and mail back to them along with a copy of my account statement.

Question: does transferring all monies close the account at HSA Bank? Or do I need to contact them separately to make sure the account is closed?
Different custodian, but I also got that pdf form when using the fidelity transfer process. But, I also contacted my current custodian about transferring out and they emailed me a form. In the transfer section of that form, there are check boxes to indicate: "This transfer will / will not close my HSA account". So that may be another option for you too.

I'm not closing my old account, but think I am just going to do it that way, using the current custodian's form, for a number of reasons. I can fax the completed form to my current custodian and they will mail me a check, made out to Fidelity, and I can mail that to them or (I assume) take it to a branch.
Time is your friend; impulse is your enemy. - John C. Bogle

aorin
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by aorin » Fri Nov 16, 2018 8:13 pm

Does anyone have a link to the form I need to use for an Indirect Rollover? I don't want to pay the closing fee for a direct transfer. My plan is to liquidate my UMB HSA and have them transfer all funds to my checking account, then drop off a check, and the form I need at my Fidelity branch.

danaht
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by danaht » Fri Nov 16, 2018 8:17 pm

Does anyone know if there would be a charge to have Fidelity pull (transfer) money from my Optum HSA account? I have a Optum HSA account that I need to keep open - since my employer uses it to deposit money from my paycheck. I know Optum would charge me $25 if they initiated the transfer. But I am not sure if I would still get charged by Optum if Fidelity initiated the transfer. If there is no charge from from Fidelity initiated transfers - I may just regularly pull money from my Optum account to this account.

exigent
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by exigent » Fri Nov 16, 2018 9:35 pm

danaht wrote:
Fri Nov 16, 2018 8:17 pm
Does anyone know if there would be a charge to have Fidelity pull (transfer) money from my Optum HSA account? I have a Optum HSA account that I need to keep open - since my employer uses it to deposit money from my paycheck. I know Optum would charge me $25 if they initiated the transfer. But I am not sure if I would still get charged by Optum if Fidelity initiated the transfer. If there is no charge from from Fidelity initiated transfers - I may just regularly pull money from my Optum account to this account.
Do you login via optumbank.com or something like mycdh.optum.com? Curious because we have the latter (it's an old US Bank HSA that got converted to Optum) and I haven't been able to find good info. They're both technically managed by Optum but there are major differences in the investment platform, and I'm unsure about fee differences.

MikeMak27
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by MikeMak27 » Fri Nov 16, 2018 9:40 pm

I used to have a Wells Fargo hsa because it had one of the lowest fees before it was bought by Optum. The web of complicated legal structures and fund options from the two has me clueless as to how much fees are now and what they would be to transfer to fidelity. Either way I’m transferring since fees will be next to nothing, and it will consolidate accounts and logins.
Mac 4 fund portfolio: 45% US small cap value (IJS, VBR), 40% Emerging Markets (IEMG, VWO, FPMAX), 10% long term US treasuries (TLT), 5% US REITS (VNQ)

danaht
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by danaht » Fri Nov 16, 2018 10:31 pm

exigent wrote:
Fri Nov 16, 2018 9:35 pm
danaht wrote:
Fri Nov 16, 2018 8:17 pm
Does anyone know if there would be a charge to have Fidelity pull (transfer) money from my Optum HSA account? I have a Optum HSA account that I need to keep open - since my employer uses it to deposit money from my paycheck. I know Optum would charge me $25 if they initiated the transfer. But I am not sure if I would still get charged by Optum if Fidelity initiated the transfer. If there is no charge from from Fidelity initiated transfers - I may just regularly pull money from my Optum account to this account.
Do you login via optumbank.com or something like mycdh.optum.com? Curious because we have the latter (it's an old US Bank HSA that got converted to Optum) and I haven't been able to find good info. They're both technically managed by Optum but there are major differences in the investment platform, and I'm unsure about fee differences.
I'm going to try to initiate a transfer with Fidelity. The worst case scenario is that I get charged a $20 transfer outbound fee by Optum. I think it's worth a try. Unfortunately, I'll have to mail in this form or drive to a Fidelity office. Looks like the electronic option to simply attach a statement is not available for transferring funds from Optum. If no fee is charged - I''ll just plan to drive to the Fidelity office once every quarter to submit this transfer document.

I'll also transfer all my assets from HSA Bank / TD Ameritrade as well. But, I am probably going to wait to find out if there were any unexpected closing fees from others before doing this.

danaht
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by danaht » Sat Nov 17, 2018 9:10 am

For those who have a HSA Bank / TD Ameritrade account it seems like the most efficient transfer process would be to do the following (based on posts from (viewtopic.php?f=10&t=230151&start=50)

1) Move all your HSA Bank cash from HSA Bank to the TD Ameritrade brokerage window.
2) Wait for #1 to complete (~ 2 days)
3) Initiate an in-kind transfer of your entire TD Ameritrade Account (cash + all stocks/etfs) using Fidelity transfer online tool (this is done electronically and only take ~5 days)
4) Since you have nothing left in your HSA Bank Account - you can call HSA Bank to close your account as soon as #3 completes.

In the previous thread mentioned - there was at least one post that experienced a 1 month delay while transfering from HSA Bank instead of TD Ameritrade. So -I think I'll attempt the above steps instead. The only question would be fees from TD Ameritrade for transferring all the assets out.

marcopolo
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by marcopolo » Sat Nov 17, 2018 9:45 am

danaht wrote:
Sat Nov 17, 2018 9:10 am
For those who have a HSA Bank / TD Ameritrade account it seems like the most efficient transfer process would be to do the following (based on posts from (viewtopic.php?f=10&t=230151&start=50)

1) Move all your HSA Bank cash from HSA Bank to the TD Ameritrade brokerage window.
2) Wait for #1 to complete (~ 2 days)
3) Initiate an in-kind transfer of your entire TD Ameritrade Account (cash + all stocks/etfs) using Fidelity transfer online tool (this is done electronically and only take ~5 days)
4) Since you have nothing left in your HSA Bank Account - you can call HSA Bank to close your account as soon as #3 completes.

In the previous thread mentioned - there was at least one post that experienced a 1 month delay while transfering from HSA Bank instead of TD Ameritrade. So -I think I'll attempt the above steps instead. The only question would be fees from TD Ameritrade for transferring all the assets out.
Don't most HSA/TD combo accounts require a small residual amount to be left in the HSA bank account?
I know our's requires $100 to be left in the HSA account. The online system will not allow me to transfer that last $100 into my TD account.
Once in a while you get shown the light, in the strangest of places if you look at it right.

veggivet
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by veggivet » Sat Nov 17, 2018 9:52 am

HSA Bank allowed me to request a transfer of my entire cash balance to TD Ameritrade. I'll know Monday if it went through without any issues.
If you watch your pennies, your dollars will take care of themselves.

dalmatiandan
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by dalmatiandan » Sat Nov 17, 2018 9:58 am

danaht wrote:
Sat Nov 17, 2018 9:10 am
For those who have a HSA Bank / TD Ameritrade account it seems like the most efficient transfer process would be to do the following (based on posts from (viewtopic.php?f=10&t=230151&start=50)

1) Move all your HSA Bank cash from HSA Bank to the TD Ameritrade brokerage window.
2) Wait for #1 to complete (~ 2 days)
3) Initiate an in-kind transfer of your entire TD Ameritrade Account (cash + all stocks/etfs) using Fidelity transfer online tool (this is done electronically and only take ~5 days)
4) Since you have nothing left in your HSA Bank Account - you can call HSA Bank to close your account as soon as #3 completes.

In the previous thread mentioned - there was at least one post that experienced a 1 month delay while transfering from HSA Bank instead of TD Ameritrade. So -I think I'll attempt the above steps instead. The only question would be fees from TD Ameritrade for transferring all the assets out.
This was my exact experience when I switched from HSA Bank to Lively a month ago. With $0 balance in HSA Bank side, it was quick, painless, and free to have them close the account once I saw the TDA side had been moved over to Lively and shuttered.

Dan

tj
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by tj » Sat Nov 17, 2018 11:37 am

Does anyone know if Fidelity support Institutional class Vanguard funds? That's what I have in my HealthEquity account and wondering if I'd need to sell before transferring.

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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by whodidntante » Sat Nov 17, 2018 11:50 am

tj wrote:
Sat Nov 17, 2018 11:37 am
Does anyone know if Fidelity support Institutional class Vanguard funds? That's what I have in my HealthEquity account and wondering if I'd need to sell before transferring.
I don't know, but I doubt it. Fidelity's own peasant class index funds have extremely low ERs, sometimes lower than Vanguard institutional shares. So maybe it's not a big concern.

tj
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by tj » Sat Nov 17, 2018 11:56 am

whodidntante wrote:
Sat Nov 17, 2018 11:50 am
tj wrote:
Sat Nov 17, 2018 11:37 am
Does anyone know if Fidelity support Institutional class Vanguard funds? That's what I have in my HealthEquity account and wondering if I'd need to sell before transferring.
I don't know, but I doubt it. Fidelity's own peasant class index funds have extremely low ERs, sometimes lower than Vanguard institutional shares. So maybe it's not a big concern.
if I have to sell pre-transfer, then I'm out of the market for a couple weeks, which isn't ideal.

JonSnow
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by JonSnow » Sat Nov 17, 2018 12:45 pm

danaht wrote:
Sat Nov 17, 2018 9:10 am
For those who have a HSA Bank / TD Ameritrade account it seems like the most efficient transfer process would be to do the following (based on posts from (viewtopic.php?f=10&t=230151&start=50)

1) Move all your HSA Bank cash from HSA Bank to the TD Ameritrade brokerage window.
2) Wait for #1 to complete (~ 2 days)
3) Initiate an in-kind transfer of your entire TD Ameritrade Account (cash + all stocks/etfs) using Fidelity transfer online tool (this is done electronically and only take ~5 days)
4) Since you have nothing left in your HSA Bank Account - you can call HSA Bank to close your account as soon as #3 completes.

In the previous thread mentioned - there was at least one post that experienced a 1 month delay while transfering from HSA Bank instead of TD Ameritrade. So -I think I'll attempt the above steps instead. The only question would be fees from TD Ameritrade for transferring all the assets out.
I am going to follow those steps. Seems like the easiest way to do it. Thanks! :sharebeer

tj
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by tj » Sat Nov 17, 2018 1:13 pm

b0B wrote:
Sat Nov 17, 2018 12:11 pm
tj wrote:
Sat Nov 17, 2018 11:56 am
whodidntante wrote:
Sat Nov 17, 2018 11:50 am
tj wrote:
Sat Nov 17, 2018 11:37 am
Does anyone know if Fidelity support Institutional class Vanguard funds? That's what I have in my HealthEquity account and wondering if I'd need to sell before transferring.
I don't know, but I doubt it. Fidelity's own peasant class index funds have extremely low ERs, sometimes lower than Vanguard institutional shares. So maybe it's not a big concern.
if I have to sell pre-transfer, then I'm out of the market for a couple weeks, which isn't ideal.
If possible, do transactions in other accounts simultaneously so as to stay invested continuously, i.e. sell in HealthEquity, and buy elsewhere, then reverse at Fidelity when funds arrive. I strongly doubt you can transfer in kind from HealthEquity.
That's a good point. I could just re-allocate one of my IRA's temporarily.

dachshunddad
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by dachshunddad » Sat Nov 17, 2018 1:41 pm

Thanks to everyone for letting the community know this info. I'm going to switch to Fidelity this week.

Does anyone know of a way around the health equity $25 closing fee?

:sharebeer

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Thrifty Femme
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by Thrifty Femme » Sat Nov 17, 2018 1:50 pm

dachshunddad wrote:
Sat Nov 17, 2018 1:41 pm
Thanks to everyone for letting the community know this info. I'm going to switch to Fidelity this week.

Does anyone know of a way around the health equity $25 closing fee?

:sharebeer
Ask Fidelity to cover the closing fee.

anna_indiana
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by anna_indiana » Sat Nov 17, 2018 2:26 pm

dachshunddad wrote:
Sat Nov 17, 2018 1:41 pm
Thanks to everyone for letting the community know this info. I'm going to switch to Fidelity this week.

Does anyone know of a way around the health equity $25 closing fee?

:sharebeer
I spoke with Health Equity a few days ago. I'm not positive this will work, but my understanding from our conversation is that I can withdraw all of my balance besides $25, with the intention of doing an indirect rollover on my own to Fidelity. (I guess they won't let us just pull the full amount out.) Then I'll use the remaining $25 in the Health Equity account to pay for a medical expense. When the balance is 0, they should close it without assessing another fee.

AlphaLess
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by AlphaLess » Sat Nov 17, 2018 2:44 pm

If I have an HSA, but I am not currently enrolled in a HD plan (i.e., I can not contribute), then can I open an HSA at Fidelity?
I'd like to roll-over my current HSA from wherever to Fidelity.

TIA
"A Republic, if you can keep it". Benjamin Franklin. 1787. | Party affiliation: Vanguard. Religion: low-cost investing.

tj
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by tj » Sat Nov 17, 2018 2:46 pm

dachshunddad wrote:
Sat Nov 17, 2018 1:41 pm
Thanks to everyone for letting the community know this info. I'm going to switch to Fidelity this week.

Does anyone know of a way around the health equity $25 closing fee?

:sharebeer
Pay it. $25 is nothing compared to the 40bps wrap unless your account is small.

Ostentatious
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by Ostentatious » Sat Nov 17, 2018 2:49 pm

To transfer or not to transfer? I have Optum Bank with $3 monthly fee and invest all in the Vanguard S & P 500. Not sure if it worth it to transfer. Transfer fee seems to be just $20.

depressed
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by depressed » Sat Nov 17, 2018 2:52 pm

Hello. I opened my HSA at Fidelity, but I haven't been able to find any way to do an indirect transfer of my HSA account (currently in a bank account) so that the contribution is marked as a rollover contribution rather than a 2018 contribution. I'll call to find out whether it's possible on Monday. In the meantime, did anyone else find a way to do the once-very-12-months indirect transfer? Thanks.

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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by Thrifty Femme » Sat Nov 17, 2018 2:52 pm

AlphaLess wrote:
Sat Nov 17, 2018 2:44 pm
If I have an HSA, but I am not currently enrolled in a HD plan (i.e., I can not contribute), then can I open an HSA at Fidelity?
I'd like to roll-over my current HSA from wherever to Fidelity.

TIA
Yes.

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jeffyscott
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by jeffyscott » Sat Nov 17, 2018 3:24 pm

Ostentatious wrote:
Sat Nov 17, 2018 2:49 pm
To transfer or not to transfer? I have Optum Bank with $3 monthly fee and invest all in the Vanguard S & P 500. Not sure if it worth it to transfer. Transfer fee seems to be just $20.
Doesn't Optum charge an asset fee, in addition to the $3/month?
Time is your friend; impulse is your enemy. - John C. Bogle

schildi
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by schildi » Sat Nov 17, 2018 3:25 pm

New to the forum - great information in this thread!
I have an HSA with Elements financial with a linked TDAmeritrade account.

My plan would be to just transfer the TDAmeritrade assets using the Fidelity online transfer as follows:
- Transfer --> see more transfer options
- Transfer Assets from Another Financial Institution
- Start a new transfer
- Enter" "Td Ameritrade"
- Enter TDA Account Number
- Select "Health Savings Account"
- To: select Fidelity HSA account
- select "transfer all assets -"Yes"
- attach latest TDA statement
- submit

Is that how it's done? Do I somehow still need to submit a signature?

After the money and the one ETF (VTI) has been transferred, my plan would be to do a trustee to trustee transfer of the Elements account with around $2.5k in it (was there to avoid fees).

Do we know that this will for sure transfer the VTI shares as an "in kind" transfer, and the whole thing will be considered to be a trustee to trustee transfer? Or is there a chance that only the cash will come over from TDA? Has anybody received their shares at Fidelity this way yet?

Atgard
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by Atgard » Sat Nov 17, 2018 4:10 pm

depressed wrote:
Sat Nov 17, 2018 2:52 pm
Hello. I opened my HSA at Fidelity, but I haven't been able to find any way to do an indirect transfer of my HSA account (currently in a bank account) so that the contribution is marked as a rollover contribution rather than a 2018 contribution. I'll call to find out whether it's possible on Monday. In the meantime, did anyone else find a way to do the once-very-12-months indirect transfer? Thanks.
I am at this step too. I opened the Fidelity HSA very easily online. Set up a link to my existing HSA (which is just cash in a checking account at a local credit union). Now it's letting me transfer funds from old HSA custodian into my Fidelity HSA account. It pops up a window showing me 2018 and 2019 individual & family HSA limits, and says "contributions apply to 2018 tax year."

So I'm a bit afraid to go forward with it, I don't want the whole rollover (several years' worth of contributions) to be considered a 2018 contribution instead of a rollover.

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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by drk » Sat Nov 17, 2018 4:14 pm

b0B wrote:
Sat Nov 17, 2018 1:53 pm
I really hate this idea. The Fidelity HSA already looks like a loss leader. A good thing may not last if people keep asking for additional special treatment.
They could just deny the request, as Vanguard does. Instead, they're willing to pay it because they know they'll recoup it if you leave.

veggivet
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by veggivet » Sat Nov 17, 2018 4:46 pm

b0B wrote:
Sat Nov 17, 2018 1:53 pm
Thrifty Femme wrote:
Sat Nov 17, 2018 1:50 pm
dachshunddad wrote:
Sat Nov 17, 2018 1:41 pm
Thanks to everyone for letting the community know this info. I'm going to switch to Fidelity this week.

Does anyone know of a way around the health equity $25 closing fee?

:sharebeer
Ask Fidelity to cover the closing fee.
I really hate this idea. The Fidelity HSA already looks like a loss leader. A good thing may not last if people keep asking for additional special treatment.
[ quote fixed by admin LadyGeek]

I wouldn't worry about Fidelity taking a loss on these HSA accounts. Customer assets total nearly 7 trillion! :greedy
If you watch your pennies, your dollars will take care of themselves.

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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by jhfenton » Sat Nov 17, 2018 5:20 pm

schildi wrote:
Sat Nov 17, 2018 3:25 pm
New to the forum - great information in this thread!
I have an HSA with Elements financial with a linked TDAmeritrade account.

My plan would be to just transfer the TDAmeritrade assets using the Fidelity online transfer as follows:
- Transfer --> see more transfer options
- Transfer Assets from Another Financial Institution
- Start a new transfer
- Enter" "Td Ameritrade"
- Enter TDA Account Number
- Select "Health Savings Account"
- To: select Fidelity HSA account
- select "transfer all assets -"Yes"
- attach latest TDA statement
- submit

Is that how it's done? Do I somehow still need to submit a signature?
Yes. That was exactly the process I followed. At the end, it will present and have you digitally-sign a transfer form before you submit it.

I was a bit confused because I got all the way to attaching my TDA statement and saw a reference to submitting a transfer form with it, but there was no link to download a form. So I searched and found Fidelity's transfer form, filled it out, digitally-signed it with my DocuSign account, and uploaded it with the TDA statement. A couple screens later they presented me with the same form and had me digitally-sign it. (I'm a commercial contracts attorney, so I have an account and use DocuSign almost every day.)

My transfer status changed to Processed by Fidelity today. It has supposedly now been transmitted to TD Ameritrade.
schildi wrote:
Sat Nov 17, 2018 3:25 pm
After the money and the one ETF (VTI) has been transferred, my plan would be to do a trustee to trustee transfer of the Elements account with around $2.5k in it (was there to avoid fees).

Do we know that this will for sure transfer the VTI shares as an "in kind" transfer, and the whole thing will be considered to be a trustee to trustee transfer? Or is there a chance that only the cash will come over from TDA? Has anybody received their shares at Fidelity this way yet?
I don't think anyone has completed a transfer yet, but it should bring over anything eligible for transfer. I have an iShares EFT, a SPDR ETF, and $9.99.

togb
Posts: 212
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by togb » Sat Nov 17, 2018 5:32 pm

Great info on this thread. Always wondered what I'd do when I left my job. Bummer that you can't move the account "in kind" since my employer's HSA offers Vanguard funds. I'd rather keep those. But maybe Fido has equivalents-- if not now, maybe by the time I retire.

I always appreciate the stuff I learn when I visit this forum.

calendario
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by calendario » Sat Nov 17, 2018 5:36 pm

Atgard wrote:
Sat Nov 17, 2018 4:10 pm
depressed wrote:
Sat Nov 17, 2018 2:52 pm
Hello. I opened my HSA at Fidelity, but I haven't been able to find any way to do an indirect transfer of my HSA account (currently in a bank account) so that the contribution is marked as a rollover contribution rather than a 2018 contribution. I'll call to find out whether it's possible on Monday. In the meantime, did anyone else find a way to do the once-very-12-months indirect transfer? Thanks.
I am at this step too. I opened the Fidelity HSA very easily online. Set up a link to my existing HSA (which is just cash in a checking account at a local credit union). Now it's letting me transfer funds from old HSA custodian into my Fidelity HSA account. It pops up a window showing me 2018 and 2019 individual & family HSA limits, and says "contributions apply to 2018 tax year."

So I'm a bit afraid to go forward with it, I don't want the whole rollover (several years' worth of contributions) to be considered a 2018 contribution instead of a rollover.
After a lot of clicking around, I found this page on how to mail in indirect rollover checks. See #5.
https://www.fidelity.com/cash-management/contribute-hsa

I also found this deposit slip pdf and plan to send in with the check.
https://www.fidelity.com/bin-public/060 ... t-slip.pdf

I haven't found a way to perform the indirect rollover transfer online either. I plan to call Monday and confirm mailing a check is the only way at the moment.

veggivet
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Location: New England

Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by veggivet » Sat Nov 17, 2018 5:39 pm

TOGB,

Fido has mutual funds and ETFs that closely mimic Vanguard products, often with commission-free trading and expense ratios at a few basis points below Vanguard. Consensus is that you will be able to move the account "in kind". Several of us are in that process right now and will report back when transfers have been completed to confirm...hopefully.
If you watch your pennies, your dollars will take care of themselves.

mervinj7
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by mervinj7 » Sat Nov 17, 2018 5:46 pm

togb wrote:
Sat Nov 17, 2018 5:32 pm
Great info on this thread. Always wondered what I'd do when I left my job. Bummer that you can't move the account "in kind" since my employer's HSA offers Vanguard funds. I'd rather keep those. But maybe Fido has equivalents-- if not now, maybe by the time I retire.

I always appreciate the stuff I learn when I visit this forum.
Post which funds you have and we'll help you find equivalents.
https://www.bogleheads.org/wiki/Fidelity

AlphaLess
Posts: 1899
Joined: Fri Sep 29, 2017 11:38 pm
Location: Kentucky

Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by AlphaLess » Sat Nov 17, 2018 5:47 pm

Thrifty Femme wrote:
Sat Nov 17, 2018 2:52 pm
AlphaLess wrote:
Sat Nov 17, 2018 2:44 pm
If I have an HSA, but I am not currently enrolled in a HD plan (i.e., I can not contribute), then can I open an HSA at Fidelity?
I'd like to roll-over my current HSA from wherever to Fidelity.

TIA
Yes.
Thanks! When I mouse-over the eligibility and requirements, it clearly states that I need to be in an HD plan.
I guess I will pretend that I am in one now :)
"A Republic, if you can keep it". Benjamin Franklin. 1787. | Party affiliation: Vanguard. Religion: low-cost investing.

Global100
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by Global100 » Sat Nov 17, 2018 6:07 pm

AlphaLess wrote:
Sat Nov 17, 2018 5:47 pm
Thrifty Femme wrote:
Sat Nov 17, 2018 2:52 pm
AlphaLess wrote:
Sat Nov 17, 2018 2:44 pm
If I have an HSA, but I am not currently enrolled in a HD plan (i.e., I can not contribute), then can I open an HSA at Fidelity?
I'd like to roll-over my current HSA from wherever to Fidelity.

TIA
Yes.
Thanks! When I mouse-over the eligibility and requirements, it clearly states that I need to be in an HD plan.
I guess I will pretend that I am in one now :)
Yep you can open an HSA now but don't fund it with new cash yet.... Additionally, Fidelity has a screen that states they don't verify anyone's current enrollment in a HD plan.

Only takes a few moments for the account to be opened. You've probably got it open already. Be sure to type-in your beneficiary(s) right away for this HSA account, and then start the transfer process. Also, link your bank account(s) to your new HSA account and wait to transfer in any new money until the first of the month when your HD qualified insurance policy is active.
Last edited by Global100 on Sat Nov 17, 2018 6:17 pm, edited 1 time in total.

drk
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by drk » Sat Nov 17, 2018 6:17 pm

AlphaLess wrote:
Sat Nov 17, 2018 5:47 pm
Thanks! When I mouse-over the eligibility and requirements, it clearly states that I need to be in an HD plan.
I guess I will pretend that I am in one now :)
I think you're skipping some information. Here's what Fidelity says on the initial account opening page:
Open a Health Savings Account

To open and contribute to a Fidelity HSA®, you must have a valid U.S. address. Unless this account will be used solely to make rollover contributions from another HSA, you must also meet the eligibility requirements below.

You may open and contribute to an HSA if you:
Are covered in an HSA-eligible health plan on the first of the month.
Are not enrolled in Medicare.
Are not covered by an ineligible health plan.
Cannot be claimed as a dependent on someone else's tax return.

Fidelity does not validate that you meet the IRS eligibility criteria to open and contribute to an HSA. You must verify that you are eligible and that your contributions comply with annual contribution limits.
There's no pretending needed. Your plan is explicitly allowed.

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SlowMovingInvestor
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by SlowMovingInvestor » Sat Nov 17, 2018 6:23 pm

whodidntante wrote:
Sat Nov 17, 2018 11:50 am
tj wrote:
Sat Nov 17, 2018 11:37 am
Does anyone know if Fidelity support Institutional class Vanguard funds? That's what I have in my HealthEquity account and wondering if I'd need to sell before transferring.
I don't know, but I doubt it. Fidelity's own peasant class index funds have extremely low ERs, sometimes lower than Vanguard institutional shares. So maybe it's not a big concern.
In fact, Fido has merged ERs and removed minimums for many funds now, so that peasants can get the same ERs as aristocrats :)

aristotelian
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by aristotelian » Sat Nov 17, 2018 6:37 pm

schildi wrote:
Sat Nov 17, 2018 3:25 pm
New to the forum - great information in this thread!
I have an HSA with Elements financial with a linked TDAmeritrade account.

My plan would be to just transfer the TDAmeritrade assets using the Fidelity online transfer as follows:
- Transfer --> see more transfer options
- Transfer Assets from Another Financial Institution
- Start a new transfer
- Enter" "Td Ameritrade"
- Enter TDA Account Number
- Select "Health Savings Account"
- To: select Fidelity HSA account
- select "transfer all assets -"Yes"
- attach latest TDA statement
- submit

Is that how it's done? Do I somehow still need to submit a signature?

After the money and the one ETF (VTI) has been transferred, my plan would be to do a trustee to trustee transfer of the Elements account with around $2.5k in it (was there to avoid fees).

Do we know that this will for sure transfer the VTI shares as an "in kind" transfer, and the whole thing will be considered to be a trustee to trustee transfer? Or is there a chance that only the cash will come over from TDA? Has anybody received their shares at Fidelity this way yet?
Based on the info I received from TD, there will be a $50 transfer fee on their side unless you liquidate all shares.

MikeMak27
Posts: 123
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by MikeMak27 » Sat Nov 17, 2018 6:38 pm

Has anyone transferred from Optum Bank HSA to fidelity yet? If so, what was the easiest way to do it?
Mac 4 fund portfolio: 45% US small cap value (IJS, VBR), 40% Emerging Markets (IEMG, VWO, FPMAX), 10% long term US treasuries (TLT), 5% US REITS (VNQ)

Atgard
Posts: 420
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by Atgard » Sat Nov 17, 2018 6:47 pm

calendario wrote:
Sat Nov 17, 2018 5:36 pm
After a lot of clicking around, I found this page on how to mail in indirect rollover checks. See #5.
https://www.fidelity.com/cash-management/contribute-hsa

I also found this deposit slip pdf and plan to send in with the check.
https://www.fidelity.com/bin-public/060 ... t-slip.pdf

I haven't found a way to perform the indirect rollover transfer online either. I plan to call Monday and confirm mailing a check is the only way at the moment.
I think (but haven't been able to confirm) there are basically 3 options:

1.) Contribution (for year 2018): You can link your bank account and do this online in a snap, but you're subject to the annual contribution maximums. (So this is not to move over an existing HSA, just to add new money if you haven't yet for 2018.) This is what we'll do each year going forward.

2.) Rollover: You liquidate your holdings at your old HSA bank and they mail you a check. Within 60 days, you mail the check to Fidelity. Then you buy whatever you want at Fidelity. (I think you can do this only once per year.)

3.) Transfer: This is a direct, electronic moving of all your assets (including cash, CDs, stocks, mutual funds, ETFs, etc.) from your old HSA bank to Fidelity -- you never touch them. You fill out some info online and Fidelity pre-fills a PDF for you to download, print, sign, and mail in (plus your old bank may require a medallion signature guarantee).

So generally if you don't want to sell your existing holdings and re-buy new ones at Fidelity, Option 3 (transfer in-kind) is what you need to do. If you are already holding cash, or don't mind selling your assets into cash & re-buying at Fidelity, then you can do Option #2 or #3. (Someone please correct me if I'm wrong!)

honduranhurricane
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Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by honduranhurricane » Sat Nov 17, 2018 7:09 pm

whodidntante wrote:
Sat Nov 17, 2018 11:50 am
tj wrote:
Sat Nov 17, 2018 11:37 am
Does anyone know if Fidelity support Institutional class Vanguard funds? That's what I have in my HealthEquity account and wondering if I'd need to sell before transferring.
I don't know, but I doubt it. Fidelity's own peasant class index funds have extremely low ERs, sometimes lower than Vanguard institutional shares. So maybe it's not a big concern.
I just did this, had to sell all Vanguard funds at Health Equity and transfer cash. Annoying but, oh well.

AlphaLess
Posts: 1899
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Location: Kentucky

Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by AlphaLess » Sat Nov 17, 2018 7:56 pm

drk wrote:
Sat Nov 17, 2018 6:17 pm

There's no pretending needed. Your plan is explicitly allowed.
Thanks for the info.
"A Republic, if you can keep it". Benjamin Franklin. 1787. | Party affiliation: Vanguard. Religion: low-cost investing.

TBL_IA
Posts: 21
Joined: Sat Aug 04, 2018 6:02 am

Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by TBL_IA » Sat Nov 17, 2018 8:07 pm

I intend to enroll in a HDHP/HSA plan next open enrollment period. My employer contributes $100 if we select the HDHP + HSA. My employer uses HSA Bank with the option of TDA. Can I link my HSA Bank account to which my employer contributes to and just transfer the money from there to a Fidelity HSA.

TIA

depressed
Posts: 149
Joined: Sun Oct 14, 2018 4:07 pm

Re: Rumor mill - Fidelity starting individual HSA's Nov. 15th

Post by depressed » Sat Nov 17, 2018 8:08 pm

Atgard wrote:
Sat Nov 17, 2018 4:10 pm
depressed wrote:
Sat Nov 17, 2018 2:52 pm
Hello. I opened my HSA at Fidelity, but I haven't been able to find any way to do an indirect transfer of my HSA account (currently in a bank account) so that the contribution is marked as a rollover contribution rather than a 2018 contribution. I'll call to find out whether it's possible on Monday. In the meantime, did anyone else find a way to do the once-very-12-months indirect transfer? Thanks.
I am at this step too. I opened the Fidelity HSA very easily online. Set up a link to my existing HSA (which is just cash in a checking account at a local credit union). Now it's letting me transfer funds from old HSA custodian into my Fidelity HSA account. It pops up a window showing me 2018 and 2019 individual & family HSA limits, and says "contributions apply to 2018 tax year."

So I'm a bit afraid to go forward with it, I don't want the whole rollover (several years' worth of contributions) to be considered a 2018 contribution instead of a rollover.
I agree. Do not choose that option. It will cause Fidelity to incorrectly report a 2018 contribution rather than a transfer. Perhaps you could sort it all out with the IRS, but I wouldn't want that particular hassle. I'll let you know what I find out on Monday.

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