hile you have the flexibility to withdraw as little or as much as you need to help pay for health care expenses, the HSA is really designed to help you save money and build up your balance so that you’re prepared for future health care expenses, including in retirement when you’re likely to have more medical expenses.

Once you turn 65, you can use the money in your HSA for anything you want. If you don’t use it for qualified medical expenses, it counts as income when you file your taxes. Six months before you retire or get Medicare benefits, you must stop contributing to your HSA.

HSA funds can only be used for health care expenses until you turn 65 to avoid paying a tax penalty. You can only contribute to an HSA if you get your health coverage from a high-deductible health plan. But once the money is in there, you’ll always be able to use it.