Best HSA providers.
For investors, not just spenders.
Most employer HSAs charge fees and offer terrible investment options. The move: keep what you need for current medical expenses in your employer HSA, then transfer the rest to Fidelity or Lively annually.
Why most employer HSAs are terrible for investing
Typical employer HSA problems: 0.5–1% annual admin fees, investment options limited to 8–10 funds with 0.5%+ expense ratios, $1,000+ balance required before you can invest, and clunky interfaces. You are paying fees on an account that should be growing tax-free for decades.
Fidelity HSA: best in class
$0 admin fees. $0 minimum to invest. Full access to Fidelity's fund lineup including FZROX (zero expense ratioexpense ratioThe yearly fee an investment fund charges, taken as a small slice of your balance. A 0.03% ratio costs $3 per year on every $10,000 invested. Lower is better.Full definition total market fund) and FZILX (zero ER international). No other HSA provider matches this combination. Open directly at fidelity.com.
Lively HSA: the alternative
Lively charges $0 admin fees and invests through a linked Schwab account. Good fund selection. Slightly more setup friction than Fidelity. Solid choice if you prefer the Schwab ecosystem.
What to invest in your HSA
Same thing you would put in a Roth IRAIndividual Retirement Account (IRA)A personal retirement savings account with tax advantages. Two main types: Traditional (tax now, pay later) and Roth (pay now, tax-free forever).Full definition: a total market index fund. At Fidelity: FZROX (0.00% expense ratio) or FSKAX (0.015%). The HSA is a long-term investment vehicle, not a spending account. Keep a small cash buffer ($500–1,000) for current-year medical expenses; invest the rest. See HSA Deep-Dive for the full strategy.
Transfer process
Use a trustee-to-trustee transfer (not a rollover). This has no tax consequences. You are allowed one transfer per year. The receiving institution (Fidelity/Lively) initiates the transfer, contact them, provide your current HSA details, and they handle the paperwork. Takes 2–4 weeks. Your employer HSA stays open for payroll contributions; you just move the invested balance annually.
Last updated 2026-04-15. Verify current provider terms before opening an account.