The IRS allows several different methods for transferring funds to another HSA provider.
Trustee-to-Trustee Transfer. Money moves directly between HSA providers without passing through you. You are only responsible for initiating the request. Once initiated, the existing provider will mail the funds to the new provider via paper check.
Rollover Transfer. You receive a distribution from an HSA and redeposit it into another HSA within 60 days to avoid potential tax implications. This type of transfer can only be completed once in a 365 day period.
IRA-to-HSA Transfer. A once in a lifetime transfer from an IRA into your HSA, subject to annual contribution limits.
In-Kind Transfer. Investments held in an HSA are moved “as-is” from one HSBA to another, without liquidating them first.
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