:max_bytes(150000):strip_icc()/GettyImages-2172700571-31324883d1114544ba80c95795d35f48.jpg "Wondering About Health Savings? Here’s the Average HSA Balance for People in Their 50s")
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Key Takeaways
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The average year-end HSA balance in 2023 was $5,674 for those aged 45 to 54 and $8,339 for those aged 55 to 64, according to EBRI data released this year.
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Older accountholders likely have higher health savings account balances and make larger contributions because they earn more and have had more time to grow their savings.
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This group also takes larger withdrawals on average, reflecting greater health care spending needs than younger accountholders who are typically healthier.
Health savings accounts (HSAs) can offer huge benefits because of their triple tax advantage: contributions are tax-deductible, money grows tax-deferred, and withdrawals are tax-free when used for qualified medical expenses.
Older accountholders, in particular, make greater use of HSAs.
These accountholders were more likely to take withdrawals, have higher account balances, and make greater contributions, according to 2023 year-end data from the Employee Benefit Research Institute (EBRI), which was released in 2025.
Average HSA Balances by Age Group
The average year-end HSA balance in 2023 was $5,674 and $8,339, for those aged 45 to 54 and 55 to 64, respectively.
So why do older HSA users, on average, have much larger balances compared to younger ones?
The EBRI researchers point out that older workers typically earn more, and therefore can afford to stash away more money. Additionally, since they’ve been in the workforce longer, they’ve had more time to grow their account balances.
Tip
You can also invest your HSA money. However, only a small portion of people actually take advantage of this feature—just 15% of accountholders invest their HSA money in assets. If you plan to invest your HSA funds, make sure to invest money you don’t plan to use in the near future.
Average HSA Annual Contributions
Accountholders under 25 contributed an average of $1,100, less than older accountholders who researchers said tend to earn more. The average contribution generally increased as accountholder age increased up to the 55–64 age group, who contributed an average of $3,802. Average contributions then decreased slightly for accountholders 65 and older.
Important
If you’re planning to open or contribute more to your HSA, just keep in mind that there are annual contribution limits set by the IRS for pre-tax contributions. Additionally, contributing to an HSA also requires that you have a high-deductible health plan (HDHP).
HSA Withdrawals and Distributions
Older accountholders were also more likely to take withdrawals from their HSAs, and, on average, these withdrawals were larger.
According to the report, accountholders under age 25 took distributions that were, on average, $804. In contrast, those aged 55 to 64 withdrew an average of $2,647.
This is likely because younger accountholders are generally healthier and need to spend less on health care compared to older accountholders.
