HSAs and the Low-Income Family

HSAs are criticized for offering tax benefits that are more generous to higher-income families. But the current HMO/PPO system also offers extremely generous tax benefits to the wealthy and not to the poor, and is rarely criticized. The fact is that lower-income families need additional assistance to afford health care -- regardless of the benefit design. President Bush proposed a refundable tax credit of $3,000 per family, but got very little support from the same people who today are so critical of HSAs.