Nothing bad - the HSA is your account, not your employer's, so the whole balance (including employer contributions) follows you: no forfeiture, no tax, no freeze.
What changes: new contributions pause unless your new coverage is a high-deductible plan, but spending continues - every dollar stays available tax-free for qualified medical expenses for you, your spouse, and your tax dependents, forever. If the old provider charged fees, roll the balance to a no-fee HSA (a trustee-to-trustee transfer keeps it tax-free). Long-haul note: an untouched HSA keeps compounding and can be invested - some savers pay current costs from cash and treat it as a stealth retirement account. Pymander is a free AI doctor, 24/7 by text, and can help you think through the move.
What to do
Common questions
What happens to my HSA when I change jobs?
Nothing bad - this is the HSA's best feature. The account is yours, not your employer's, so the entire balance - including any money your employer contributed - follows you when you leave. It does not get forfeited, frozen, or taxed. Three things actually change. Contributions: you can only add new money while covered by a high-deductible health plan, so if your new job's insurance is not an HDHP (or you have a coverage gap), contributions pause until you are HSA-eligible again. Spending: unchanged - every dollar remains available tax-free for qualified medical expenses (deductibles, copays, prescriptions, dental, vision) for you, your spouse, and your tax dependents, forever, job or no job. Admin: if your old employer's HSA provider charged fees, you can roll the balance to a no-fee HSA of your choosing - a rollover or trustee-to-trustee transfer keeps it tax-free. The strategic note for long-haul savers: money left in an HSA keeps compounding and can be invested, which is why some people treat it as a stealth retirement account and pay current medical costs from cash. Pymander is a free AI doctor, 24/7 by text, that can help you think through the move.