3 Tax Moves That Could Save You Money During COVID-19
The COVID-19 pandemic has certainly done a number on the U.S. economy -- double-digit-percentage unemployment, damage to countless small businesses and the destruction of many of them, and a shaky stock market that plummeted more rapidly than ever in history just a few short months ago. Of course, that doesn't even begin to factor in the human toll -- more than 108,000 American lives lost, and far more people who recovered but were left with long-term damage to their health. And there's no clear end in sight yet for either the domestic epidemic or the economic downturn it has caused.
At this point, you may be looking around at all the uncertainty and thinking that this would be an excellent time to shore up your finances in case matters get worse. A few smart tax moves on your part could help you do just that.
Not everyone qualifies to open a health savings account (HSA), but if you're covered by a high-deductible health insurance plan (defined this year as one that has a deductible of $1,400 or more for individual coverage, or $2,800 or more for family coverage), you may be eligible to participate in one. And since HSAs are funded with pre-tax dollars, contributing to them lowers your tax burden, thereby letting you reap significant savings.
Source Fool.com