With the recently completed merger of Charles Schwab and TD Ameritrade, Schwab now has acquired all of the brokerage side of HSA Bank’s health savings accounts (HSAs). These accounts are called Health Savings Brokerage Accounts or HSBAs.

While Schwab has offered HSBAs before, they were only accessible by setting up a health savings account through specific HSA custodians or employers. Meanwhile, TD Ameritrade was the custodian who partnered with HSA Bank, one of the HSA custodians we recommend.

Over the holiday weekend of September 4, 2023, all TD Ameritrade accounts, including HSBAs, were converted to Charles Schwab.

Schwab also released a guide on their HSBA offering at Schwab.com/HSBA. Schwab is very clear that, “Schwab does not charge you a fee for HSBA.” Schwab has a dedicated HSBA team for retail investors at 1-800-472-0084 and an HSBA department for registered investment advisors (RIAs) at 1-888-393-7272.

However, currently the only way to open an HSBA at Schwab is to have a related HSA cash account at another provider who is willing to partner with Schwab. This is why to open an HSBA at Schwab, you would first need to open an HSA cash account with HSA Bank.

HSA Bank also updated their own website during this transition to have a guide on creating and using an investment account at Charles Schwab called Schwab Health Savings Brokerage Account (HSBA). HSA Bank serves as the HSA provider who does the compliance bookkeeping related to your HSA while Charles Schwab is a third party custodian for only the investment side of the account.

Now that these accounts are open at Charles Schwab, Marotta Wealth Management can manage and invest Health Savings Brokerage Accounts. If you have an HSBA at Schwab which you would like us to manage, we can use a Schwab Health Savings Brokerage Account Limited Power of Attorney Agreement to add our management to those assets.

Photo by Charlotte Karlsen on Unsplash. Image has been cropped.