It's that time of year when workers are asked to pick their health benefit options for 2022 during an open enrollment period. If your employer offers HSA (Health Savings Account) option as part of its benefits package, don't dismiss it out of hand just because you're not familiar with how they work.
According to Kiplinger, after doing a little research, you might discover that an HSA is the way to go. For many people, HSAs offer a tax-friendly way to pay medical bills. You can deduct your contributions to an HSA (even if you don't itemize), contributions made by your employer are excluded from gross income, earnings are tax free, and distributions aren't taxed if you use them to pay qualified medical expenses. Plus, you can hold on to the account when you're no longer working for your current employer and use it tax-free for medical expenses in at a different job or during retirement.