The Lively HSA

General Discussion on the Permanent Portfolio Strategy

Moderator: Global Moderator

User avatar
foglifter
Executive Member
Executive Member
Posts: 561
Joined: Tue Apr 27, 2010 5:37 pm
Location: The Golden State

Re: The Lively HSA

Post by foglifter » Sun Mar 18, 2018 1:00 am

I've moved my HSA from HSA Bank to Lively in January and can confirm all the positive feedback pugchief shared. Lively is located in San Francisco and the phone/email support is excellent. They are working to make their already great website even more functional to simplify transfers that involve brokerage accounts. I won't repeat what pugchief already said, just wanted to emphasize one point: for those moving from HSA Bank the process begins with TDA account opening, then you submit to Lively a TDA transfer form that includes the account titles for your HSA TDA account and the new Lively TDA account. TDA acts pretty quickly, I think within a few days my account positions were moved in-kind. Here's the crucial point: you start the core account transfer AFTER you have verified that the TDA account transfer had been completed. I guess otherwise HSA Bank will liquidate your TDA account and you won't be able to do an in-kind transfer.

Also, Lively deducts $2.50 monthly from my bank account, not from my Lively HSA account. So you can actually keep a zero balance at your HSA account.

So far I am pleased with the customer service and the website functionality. I think Lively got into HSA business at the right time as many people who use HSAs for investing and/or retirement savings probably amassed decent balances after 10+ years since HSAs were introduced and from the business perspective offering HSAs becomes profitable.

My payroll contributions go into my employer-based Optum Bank HSA. :( I wish I could have them sent directly to Lively but our payroll provider doesn't allow that. So the plan is to do a partial transfer to Lively once or twice a year. Optum said they only charge account closing fee, but the partial outbound transfers are free.
User avatar
ochotona
Executive Member
Executive Member
Posts: 2051
Joined: Fri Jan 30, 2015 5:54 am

Re: The Lively HSA

Post by ochotona » Fri Mar 23, 2018 9:37 pm

The funds came over fast from my old HSA. Moving the cash from Lively HSA to TD Ameritrade was an overnight process. Today I re-established my prior position. I'm glad I did all that. The $2.50 per month investment fee will come out of checking, not the HSA, which I prefer.
User avatar
sophie
Executive Member
Executive Member
Posts: 2702
Joined: Mon Apr 23, 2012 7:15 pm

Re: The Lively HSA

Post by sophie » Sat Mar 24, 2018 1:22 pm

Just started the process to flip from HSA Bank to Lively. I am amazed at how easy and logical the process is, so far! Even if Lively's fees matched that of HSA Bank, it would still be worth it to make the move for the website & customer service alone.

Having forgotten foglifter's warning, I gave them the info for trustee to trustee transfer during the signup process. I guess it will be a bit of a race to do the TDA account in-kind transfer before HSA Bank gets around to liquidating my account. I suspect Lively will win the race - it's always been about a 2 month ordeal (including several phone calls) to move funds from my employer account at Optum to HSA Bank. I'm not sure which of those is more dysfunctional.

I'm wondering if saving the 1.45% medicare tax is worth having to deal with Optum, not to mention delaying HSA contributions when I could just put everything in at the beginning of the year and get a big jump on tax savings.
User avatar
pugchief
Executive Member
Executive Member
Posts: 2357
Joined: Tue Jun 26, 2012 2:41 pm
Location: suburbs of Chicago, IL

Re: The Lively HSA

Post by pugchief » Sat Mar 24, 2018 1:35 pm

sophie wrote: Having forgotten foglifter's warning, I gave them the info for trustee to trustee transfer during the signup process. I guess it will be a bit of a race to do the TDA account in-kind transfer before HSA Bank gets around to liquidating my account. I suspect Lively will win the race - it's always been about a 2 month ordeal (including several phone calls) to move funds from my employer account at Optum to HSA Bank. I'm not sure which of those is more dysfunctional.
If you filled out Lively's Transfer-in-kind form, TDA will make the move long before HSA Bank does the transfer of the account. HSA Bank actually contacted me when they got the transfer request and asked if I wanted the TDA account liquidated or was planning to do it in-kind.
User avatar
sophie
Executive Member
Executive Member
Posts: 2702
Joined: Mon Apr 23, 2012 7:15 pm

Re: The Lively HSA

Post by sophie » Sat Mar 24, 2018 4:11 pm

Thanks pugchief. I haven't gotten to the the in-kind transfer form yet - need for them to finish account setup on their end. It's been very fast and efficient so far.

I wonder if HSA Bank has noticed where all these transfers are going. Lively is going to eat their lunch unless they lower their fees and improve customer service.
User avatar
ochotona
Executive Member
Executive Member
Posts: 2051
Joined: Fri Jan 30, 2015 5:54 am

Re: The Lively HSA

Post by ochotona » Sat Mar 24, 2018 4:34 pm

Please don't give up thousands of dollars in Medicare tax savings Sophie!
User avatar
sophie
Executive Member
Executive Member
Posts: 2702
Joined: Mon Apr 23, 2012 7:15 pm

Re: The Lively HSA

Post by sophie » Sun Mar 25, 2018 8:02 pm

ochotona wrote:Please don't give up thousands of dollars in Medicare tax savings Sophie!
Thousands? am I missing something? I thought Medicare tax on $4450 at my income level is $64.25 (1.45%). It should work out better to invest everything straight away in January, instead of waiting for a year to transfer over the money collected from 12 months of paycheck deductions. Which is enough of a PITA that it's actually worth paying $64 not to do it.
User avatar
ochotona
Executive Member
Executive Member
Posts: 2051
Joined: Fri Jan 30, 2015 5:54 am

Re: The Lively HSA

Post by ochotona » Sun Mar 25, 2018 9:02 pm

You're right what was I thinking?
User avatar
sophie
Executive Member
Executive Member
Posts: 2702
Joined: Mon Apr 23, 2012 7:15 pm

Re: The Lively HSA

Post by sophie » Fri Mar 30, 2018 10:51 am

The TDA funds just transferred to my new Lively investment account. It took about a week, but has handily beat the cash rollover from HSA Bank (not showed up yet and I don't expect it for another few weeks at least).

I've noticed trouble logging into Lively - it's very slow and a couple of times I wasn't able to get in at all. I wonder if their site is overwhelmed by all the transfers they're getting. Anyone else noticed this?
User avatar
ochotona
Executive Member
Executive Member
Posts: 2051
Joined: Fri Jan 30, 2015 5:54 am

Re: The Lively HSA

Post by ochotona » Fri Mar 30, 2018 11:11 am

sophie wrote:The TDA funds just transferred to my new Lively investment account. It took about a week, but has handily beat the cash rollover from HSA Bank (not showed up yet and I don't expect it for another few weeks at least).

I've noticed trouble logging into Lively - it's very slow and a couple of times I wasn't able to get in at all. I wonder if their site is overwhelmed by all the transfers they're getting. Anyone else noticed this?
I noticed a little bit of lag last week, but right now, none at all.
User avatar
ochotona
Executive Member
Executive Member
Posts: 2051
Joined: Fri Jan 30, 2015 5:54 am

Re: The Lively HSA

Post by ochotona » Fri Mar 30, 2018 3:15 pm

The US government just lowered the 2018 HSA contribution limit by $50, because of chained CPI. Don't contribute as much as you thought you could, or else you will face a penalty.

https://www.shrm.org/resourcesandtools/ ... limit.aspx
User avatar
ochotona
Executive Member
Executive Member
Posts: 2051
Joined: Fri Jan 30, 2015 5:54 am

Re: The Lively HSA

Post by ochotona » Mon Apr 09, 2018 8:49 am

Lively HSA / TD Ameritrade doesn't gave free gold ETFs, but it does trade for free DBA, the agricultural commodity ETF. That one has been pummeled into the mud. Might be bottoming.
Post Reply