By Pension and Benefits Editorial Staff
The number of health savings accounts (HSAs) grew to 25 million, holding an estimated $53.8 billion in assets at the end of 2018, according to recent research from Devenir. The 2018 Year-End HSA Survey noted that the number of HSA accounts has risen 13 percent from the end of 2017.
The survey found the following:
- Stable asset growth. HSA consumers had accumulated $53.8 billion in their HSAs at the end of 2018, a year over year increase of 19 percent. Devenir expects this number to grow to $75 billion by the end of 2020.
- HSA investment assets surpass $10 billion mark. HSA investment assets reached an estimated $10.2 billion at the end of December, up 23 percent year-over-year. On average, investment account holders hold a $14,617 total balance (deposit and investment account).
- HSA contributions increase. HSA accountholders contributed almost $33.7 billion to their accounts in 2018, up 22 percent from the year before.
- Increase in employer contributions. For accounts receiving an employer contribution in 2018, the average contribution amount rose to $839 (up from $604 in 2017).
“In a competitive economic environment with low unemployment, we saw employers contribute almost $9 billion to their employees’ HSAs in 2018, a meaningful increase from the previous few years,” said Jon Robb, SVP of research and technology at Devenir.
Devenir projects that, by the end of 2020, the HSA market will approach $75 billion in HSA assets covering roughly 30 million accounts.
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