If I sign up for an HSA with my HDHP and contribute money into the account is there a limit on whats tax free?

I have been reading everywhere I can about this HSA account and have most of my questions answered by doing research but when I was reading about what percentage of your medical expenses is tax deductable (7.5%) I got very confused again. Is this 7.5% of your ADJUSTED GROSS INCOME only apply to people who itemize who have no HSA? Or can someone who makes 23k a year still get a no limit tax deduction? So if I save 3,000 dollars in 3 years and the 3rd year have to spend all $9000 due to a major medical situation I am still covered tax free or is there a 7.5% limit?

1 month ago - 1 answers