How to Transfer Your HSA from HealthEquity to Fidelity: A Step-by-Step Guide
Health Savings Accounts (HSAs) are a great way to set aside pre-tax money for medical expenses. If you’ve been using HealthEquity for your HSA but are considering a transfer to Fidelity, this guide will help you understand the steps involved in making the transition smoothly. Fidelity is known for its low fees and robust investment options, making it an attractive option for many individuals looking to maximize their HSA contributions.
Why Transfer Your HSA?
Before diving into the transfer process, it’s essential to understand why you might want to move your HSA:
- Lower Fees: Fidelity is known for its low-cost investment options and management fees.
- Investment Choices: Fidelity offers a wider range of investment options compared to HealthEquity.
- User-Friendly Experience: Many users find Fidelity’s online platform to be more intuitive and easier to navigate.
Step-by-Step Guide to Transferring Your HSA
Step 1: Open a Fidelity HSA Account
Before initiating the transfer, you need to have an HSA account set up with Fidelity. Here’s how to do that:
- Visit Fidelity’s website.
- Navigate to the "Health Savings Account" section.
- Fill out the online application form with your personal information.
- Review the terms and conditions and submit your application.
Once your account is approved, you’ll receive account details through email.
Step 2: Gather Necessary Information
To facilitate the transfer process, make sure you have the following information ready:
- Your HealthEquity Account Number: This can typically be found on your statements or by logging into your account.
- Your Fidelity Account Number: Make sure you have your new Fidelity HSA details.
- Personal Identification: Such as your Social Security Number and a copy of your ID, if required by Fidelity.
Step 3: Initiate the Transfer with Fidelity
Once your Fidelity HSA account is set up, the next step is to initiate the transfer. Here’s how:
- Log in to your Fidelity account.
- Navigate to the “Accounts & Trade” section.
- Click on “Transfers.”
- Select “Transfer an Account” or “Transfer an HSA from another provider.”
- Follow the prompts to request a transfer from HealthEquity by providing the necessary account information.
Step 4: Complete the Transfer Request Form
Fidelity may require you to fill out a transfer request form. This form generally includes:
- Your personal information.
- HealthEquity account details.
- The amount you wish to transfer (full balance or partial transfer).
Make sure all the information is accurate to avoid delays.
Step 5: Confirm the Transfer Request with HealthEquity
After submitting your transfer request to Fidelity, it’s a good idea to confirm with HealthEquity. Contact their customer service to ensure they have received the request and to confirm the transfer process. This helps in expediting the transfer and resolving any potential issues.
Step 6: Monitor Your Transfer Progress
Transfer times can vary, typically ranging from a few days to a few weeks, depending on the institutions involved. Regularly check both your HealthEquity and Fidelity accounts to monitor the transfer status. You can also reach out to customer support at either company for updates.
Step 7: Verify Account Balance with Fidelity
Once the transfer is completed, verify that your funds have been successfully moved to your Fidelity HSA. Log in to your new Fidelity account to ensure that the transferred amount matches what you had in your HealthEquity account. Review any investment options you wish to pursue to maximize your HSA’s growth potential.
Step 8: Close Your HealthEquity Account (Optional)
If you no longer wish to keep your HealthEquity account, contact their customer support for instructions on closing your account. Ensure that all funds have been transferred before closing to avoid complications.
Conclusion
Transferring your HSA from HealthEquity to Fidelity can be a straightforward process if you follow the necessary steps. With Fidelity’s favorable investment options and lower fees, this transition can help you better manage your healthcare savings. Make sure to keep track of your accounts during the transition to ensure everything goes smoothly.
Always consult with a financial advisor if you have questions about the best options for your HSA investments and overall financial goals.
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I need help- I have an employer's chosen HSA which I will max out contribution by the end of January. I will do a 60 day rollover to Fidelity HSA. My question is- do I actually need to wait for distribution money from the first HSA to hit my checking account before I put money into Fidelity HSA marked as rollover? Is there anything preventing me from having Fidelity take money out of my checking now as a rollover contribution before I get the distributions in the near future?
This is exactly what I am planning to do. Ever since my employer switched our HSA provider to HealthEquity, I've had a terrible time with their website, not to mention their ridiculous fees. I use the Firefox browser and a VPN service, which HE doesn't play nice with, so I can't even login most of the time. I already have 403B, Roth and brokerage accts with Fidelity, so I was already planning to move my HSA to them when I retire, but I've had so many issues with HE, I've decided to do it now. The only problem is that my employer contributions will continue to go into the HE acct since that is the plan they sponsor, so I will have to manually transfer their contributions to Fidelity periodically until I retire and can fully close the HE acct.
Hi Cherry, I have healthequity from my employer so if I transfer the funds to fidelity will the funds that my employer puts in and I do also for the future checks still go into HealthEquity?
Thanks so much for the helpful video! I had a few additinal questions:
1: Did you only do one transfer (your full account balance minus $25 minimum)? If so, did that charge in fees for that one transfer?
2: What were the ongoing fees when you left a balance of $25 in your account?
3: What was the fee when you had $0 in your account when they processes your remaining claims? Did you keep your account open at that point or close it all together?
So when doing the partial transfer, the fact that you can move everything but the 25$ doesn't mean that they eill charge 25¢? Foes anyone know?
I never knew fidelity handled HSA Accounts
During the partial transfer process it says "A 'wet signature' is required for all transfers out. 'Digital signatures are not accepted for partial transfers." Do you have to literally send it a signed form every time you do one of these transfers?
I understand Health Equity does not do a ACH for partial transfer, only a check..It has taken 7 business days so far and Fidelity has never receive it yet.
I too have been annoyed by HealthEquity’s fees and restrictions! I will be doing my transfer to fidelity as soon as the market improves a bit so that I don’t have to sell my holding in HealthEquity at a loss
I have a situation where my company contributes to my HSA, so I am assuming I just do partial transfers to invest money in fidelity, but still have to keep the Healthequity account?
Hi!! Thank u so much for this video!! I needed that! So do u have to do a partial transfer every month?
These transfers are done by a mailed check. Not like an ACH transfer. I would just get worried the check never gets there.
0:58 now seems like it is below $2500 before they charger fee.
I do these partial transfer from my Employer's HealthEquity HSA to my individual HSA every month. My experience, it always took minimum of 3 weeks and these days, more like a full month for the transfer to complete. Main benefit of contributing HSA through the employer is that usually, they have a cafeteria plan that allows you to save on Social Security and Medicare tax as well as the income tax. If you contributed directly to an individual HSA, you only get the income tax deduction but not the Social Security and Medicare tax benefit. If you're lucky, your employer may also be funding a portion of your HSA (which is why I think you had more than $25 left after the transfer was done, but please check your HealthEquity account activity).
Thank you for sharing this, however, I couldn't find the partial HSA transfer page from HealthEquity. Could you please share the link? Thank you.
Hi. Do you have to do that process every month or is going to be automatic that way you can just go to fidelity and invest.
Did you get any fees? Also when your paycheck gets dumped into health equity every two weeks does it transfer automatically to fidelity?
Good advice
Awesome
Thank you so much for this!!! I couldn't figure out how to initiate the transfer and almost did the pull method. You saved me a ton of time!
Brilliant
So, I am just about to enroll in HSA since I just switched to a high deductible plan, turned out my employer uses Health Equity. When can I start transferring the funds? Also, is the transfer done once a year, once a quarter, once a month, or..? Thank you!
healthequity SUCKS !! every month i get a $8 fee
Great vid. Question though. My employer goes through Gusto and I want to transfer out since their only investment account is through Devenir. I'm considering transferring through Lively since they have no fees, but would Fidelity be a better option? Thanks for your help!
What if my hsa funds are now on a debit card?
Omg thank you I did not know I could do this at all. Im surprised your employer gave you Health Equity, didn't think this was going going be common. So will fidelity show the balance you transferred under an HSA account at fidelity? Or will it appear under my Roth IRA/401K
Also once I have it under Fidelity, can I invest it in individual stocks? I know at Health Equity I only have very few choices
I got to "I'm an Asian accountant! How can I make a math mistake?!?" and liked the video.
You know me. If I can pay no fees, I'm going to try to pay no fees! This is why I switch from HealthEquity to Fidelity. How about you?
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