HSA Authority/Old National or Optum Bank for HSA? Other?

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WEL
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Joined: Sat Jun 29, 2013 11:03 am

HSA Authority/Old National or Optum Bank for HSA? Other?

Post by WEL » Wed Feb 12, 2020 6:44 pm

They both have the fund I want (VITSX).

I would consider other providers that offer that fund and don't charge an investment fee. Admin fee, fine, but please don't take away from my investment since I plan to fully fund every year and cash flow med expenses.

I'm thinking HSA Authority/Old National may be my pick. Because I've called Optum Bank three times and I've gotten three very different answers about fees. :shock:

This will be my first HSA ever. Thank you for your thoughts!!

EDIT: I'm self-employed.
Last edited by WEL on Wed Feb 12, 2020 9:27 pm, edited 1 time in total.

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nps
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Re: HSA Authority/Old National or Optum Bank for HSA? Other?

Post by nps » Wed Feb 12, 2020 7:10 pm

If you expand your desire beyond mutual funds and into ETFs (VTI in this case) you will have more provider options and less problem with fees.

Countdown to someone recommending Fidelity...

terran
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Re: HSA Authority/Old National or Optum Bank for HSA? Other?

Post by terran » Wed Feb 12, 2020 7:11 pm

nps wrote:
Wed Feb 12, 2020 7:10 pm
Countdown to someone recommending Fidelity...
Here you go:
Unless your employer provides direct contributions to a particular HSA that avoid FICA taxes then my top choice would be Fidelity. They won't have commission free Vanguard mutual funds, but I'm sure you'll be able to find an equivalent Fidelity fund or a ETF that will work.

TarHeel2002
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Re: HSA Authority/Old National or Optum Bank for HSA? Other?

Post by TarHeel2002 » Wed Feb 12, 2020 8:12 pm

I've been with HSA Authority/Old National for about three years now and have been very happy with the service and access to funds.

gjlynch17
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Re: HSA Authority/Old National or Optum Bank for HSA? Other?

Post by gjlynch17 » Wed Feb 12, 2020 8:41 pm

I used to be with Optum Bank. They were fine. I switched to Fidelity a year ago. Fidelity is far superior.

perl
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Re: HSA Authority/Old National or Optum Bank for HSA? Other?

Post by perl » Wed Feb 12, 2020 10:11 pm

I am using Optum because it's my work provider and I hate them. The website is ridiculously slow, poorly laid out, and frequently breaks.

My partner's HSA is at Fidelity. It is reasonable.

manatee2005
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Re: HSA Authority/Old National or Optum Bank for HSA? Other?

Post by manatee2005 » Thu Feb 13, 2020 4:57 am

WEL wrote:
Wed Feb 12, 2020 6:44 pm
They both have the fund I want (VITSX).

I would consider other providers that offer that fund and don't charge an investment fee. Admin fee, fine, but please don't take away from my investment since I plan to fully fund every year and cash flow med expenses.

I'm thinking HSA Authority/Old National may be my pick. Because I've called Optum Bank three times and I've gotten three very different answers about fees. :shock:

This will be my first HSA ever. Thank you for your thoughts!!

EDIT: I'm self-employed.
Are you eligible for HSA because you are on ACA?

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Tamarind
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Re: HSA Authority/Old National or Optum Bank for HSA? Other?

Post by Tamarind » Thu Feb 13, 2020 5:30 am

Lively is good too. It's not Fidelity (if you have other accounts there it's a bit of a no brainer), but it is a free account with access to ETFs through TDA without trading fees.

Topic Author
WEL
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Re: HSA Authority/Old National or Optum Bank for HSA? Other?

Post by WEL » Thu Feb 13, 2020 12:35 pm

Tamarind wrote:
Thu Feb 13, 2020 5:30 am
Lively is good too. It's not Fidelity (if you have other accounts there it's a bit of a no brainer), but it is a free account with access to ETFs through TDA without trading fees.
Just opened an HSA with Fidelity. I do already have an account w/ them. Plan to do Fidelity 500 Index Fund once I can fund the account in 4-7 days.

For anyone reading this in the future, I chose Fidelity because:
-No fees! A few bucks/month (average I've found is $3/month) doesn't seem like much but it really adds up. I love not having to commit $ to maintain an account for basically the rest of my life. Please Fidelity, keep it free. :p
-They don't take a cut of the investments beyond e/r. This can be found at other HSA providers. I could not find zero admin fees at any other.
-Already have account w/ them.
-They offer other services should I ever want to do more business w/ them. I only have one BRK-B w/ them right now.
-They have a great website IMO and great customer service and brand trust.
-The 500 index is very nice even when compared to VG's equivalent. Probably better actually (lower e/r for sure). I wanted a VTSAX alternative and could get VTI w/ Optum and Old National but the reasons above made it not worth it. Reason I wanted VTSAX more is it is diversified more than the 500's (which is US only of course) so it's more appropriate for my virtually one-fund lifestyle. But really the HSA is such a small portion of my portfolio and is still an absolutely great choice, I gave it the thumbs up. Maybe I'll actually invest in an international fund someday to get the balance a little better but doubtful -- at least right now. Could also be argued that VTSAX has done better over time but it can be argued all day long by two people who ultimately both are right in many ways. With the fee out of the way in an HSA, the 500's get a bit of an edge mayybe. Still doing VTSAX in taxable. Maybe will switch to ETF version, VTI.

veggivet
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Re: HSA Authority/Old National or Optum Bank for HSA? Other?

Post by veggivet » Thu Feb 13, 2020 2:56 pm

Another vote for Lively here. If you have other assets at TDA, this would be my recommendation. No fees, excellent customer service, and access to anything on the TDA platform, including VITSX.
Last edited by veggivet on Thu Feb 13, 2020 4:22 pm, edited 2 times in total.
If you watch your pennies, your dollars will take care of themselves.

dignan
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Re: HSA Authority/Old National or Optum Bank for HSA? Other?

Post by dignan » Thu Feb 13, 2020 3:14 pm

I was with HSA Authority for five years until recently. They have great customer service and a decent choice of funds. They charge $36 annual fee and need at least $1000 in order to invest, which you can invest all funds. They use a third-party company called Devenir for investment management. You have to manually transfer funds from your Old National HSA to your Devenir investment account. I believe it takes about three days to transfer, but you'd have to double check that. There is no automatic investment option as of right now.

I held off moving to Fidelity when they started offering Health Savings Accounts until I knew for sure everything was working as planned based on feedback from Bogleheads.org. I usually do the wait-and-see approach and let everyone else "beta test."

I can't speak for using Lively, but if you want to invest in VITSX or another Vanguard fund, then HSA Authority is a good choice. If you go with Fidelity, you can invest in the Fidelity alternative, FSKAX or FZORX.

The HSA Authority HSA Investment Options
https://hsainvestments.com/fundperformance/?p=TBH

The HSA Authority Education & Enrollment Packet (PDF)
https://www.oldnational.com/docs/defaul ... ebsite.pdf

Topic Author
WEL
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Re: HSA Authority/Old National or Optum Bank for HSA? Other?

Post by WEL » Sat Feb 15, 2020 3:15 pm

dignan wrote:
Thu Feb 13, 2020 3:14 pm
I was with HSA Authority for five years until recently. They have great customer service and a decent choice of funds. They charge $36 annual fee and need at least $1000 in order to invest, which you can invest all funds. They use a third-party company called Devenir for investment management. You have to manually transfer funds from your Old National HSA to your Devenir investment account. I believe it takes about three days to transfer, but you'd have to double check that. There is no automatic investment option as of right now.

I held off moving to Fidelity when they started offering Health Savings Accounts until I knew for sure everything was working as planned based on feedback from Bogleheads.org. I usually do the wait-and-see approach and let everyone else "beta test."

I can't speak for using Lively, but if you want to invest in VITSX or another Vanguard fund, then HSA Authority is a good choice. If you go with Fidelity, you can invest in the Fidelity alternative, FSKAX or FZORX.

The HSA Authority HSA Investment Options
https://hsainvestments.com/fundperformance/?p=TBH

The HSA Authority Education & Enrollment Packet (PDF)
https://www.oldnational.com/docs/defaul ... ebsite.pdf
I don't see FSKAX or FZORX listed on this page https://www.fidelity.com/bin-public/060 ... nsider.pdf. Is there a different page or maybe you're under an employer account and I'm personal..

cas
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Re: HSA Authority/Old National or Optum Bank for HSA? Other?

Post by cas » Sat Feb 15, 2020 3:40 pm

WEL wrote:
Sat Feb 15, 2020 3:15 pm

I don't see FSKAX or FZORX listed on this page https://www.fidelity.com/bin-public/060 ... nsider.pdf. Is there a different page or maybe you're under an employer account and I'm personal..
That list is just a narrowed down "for your consideration" list for people who get paralyzed by too much choice.

Your Fidelity HSA account is a normal full service brokerage account, and you can buy anything that is available through their brokerage service. That definitely includes all Fidelity brand products like FSKAX or FZORX.

snailderby
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Re: HSA Authority/Old National or Optum Bank for HSA? Other?

Post by snailderby » Sun Feb 16, 2020 10:06 pm

I've been happy with Fidelity, but I've also heard good things about Lively.

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Bogle7
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Re: HSA Authority/Old National or Optum Bank for HSA? Other?

Post by Bogle7 » Sun Feb 16, 2020 10:19 pm

gjlynch17 wrote:
Wed Feb 12, 2020 8:41 pm
I used to be with Optum Bank. I switched to Fidelity a year ago. Fidelity is far superior.
+1
Fido is the best for HSA.

Topic Author
WEL
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Re: HSA Authority/Old National or Optum Bank for HSA? Other?

Post by WEL » Sat Mar 07, 2020 7:51 pm

I went with Fidelity and did VTI which incurs zero costs via Fidelity ($70 per trans if I would have done VTSAX). And would rather do VTI than VTSAX since lower e/r and same performance. :D

BrownEyedGirl_27
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Re: HSA Authority/Old National or Optum Bank for HSA? Other?

Post by BrownEyedGirl_27 » Sat Mar 07, 2020 8:00 pm

Fidelity HSA is great. Signed up for one a couple weeks ago, invested in FZROX. First no-load no expense ratio fund I’ve bought. Platform is pretty nice!
"Your mind has a mind of its own. At the very moment when you are most convinced of your own rationality, you may be feeling rather than thinking your way toward a decision.” | Jason Zweig

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Nicolas
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Re: HSA Authority/Old National or Optum Bank for HSA? Other?

Post by Nicolas » Sat Mar 07, 2020 8:09 pm

I was with Optum through my employer who picked up the fees. Then I retired and went on Medicare and I was responsible for the $3 monthly fee. Their website was difficult to figure out, nonintuitive. On the plus side they provide the major Vanguard Admiral funds, even if you are below the Admiral threshold.

I couldn’t stomach the monthly fee so I moved to Lively which charges no fee and no-commission trading via TD Ameritrade. I buy Vanguard ETFs through them (on TDA) which are equivalent to the Admiral funds. So far Lively has been great for me.

This was before Fidelity instituted their no-commission policy. Today I’d have gone with Fidelity but now I’m staying put. Not much difference between the two now but with Fidelity everything is under one roof, so to speak. Plus you have access to the zero ER funds, if you want them.

Unfortunately I couldn’t transfer in-kind from Optum to Lively so everything had to be sold to cash. Also they charged me a $20 transfer fee which Lively did not pick up. I did this at the beginning of October and it took nearly a month, so I was out of the market for that period of time and missed out on several thousands in gains. Of course it could’ve gone the other way and it would’ve netted me a gain but unfortunately it didn’t.

In hindsight I should’ve waited until late February but how could I have known?

rivercrosser
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Re: HSA Authority/Old National or Optum Bank for HSA? Other?

Post by rivercrosser » Sat Mar 07, 2020 11:03 pm

Mines with Optum. I went on medicare last month so the company I retired from quit paying the monthly fee. You have to keep at least $5,000.00 in the cash part of HSA to keep from paying the fee. Had a little under $5,000.00 in the cash portion of mine so I just moved some over from the investment side of it. They didn't charge me the fee on my last statement.

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