re: HSA vs. Traditional Health Insurance Plans

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I've always went with the traditional plan in the past and been relatively satisfied with coverage. However, in response to Obamacare, my company has jacked up the rates and now has me questioning which plan I should enroll in. It's going to cost me $4900 in payroll contributions under the traditional plan, but only $2250 under the HSA option. My employer also contributes $750 each year to the HSA plan, but it has a $3K deductible to meet before the plan pays benefits which I believe are then paid out at 80/20 by them.

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$2250+($3000-$750)<$4900 If the coverage is equal, then the HSA is a no brainer.

PLUS, you get to keep any contributions you do not use. Forever. And can even invest the contributions. Preferably in something very safe. But small gains are better than no gains. I look at it as another form of retirement if you don't end up meeting your deductible every year. Chances are you will have medical expenses when you retire.