Questions and Answers

No. Under Internal Revenue Code (IRC) Section 223(d)(1)(E), an HSA owner's interest in an HSA is nonforfeitable. For example, on January 2, 2007, an employer made the maximum annual contribution to employees’ HSAs, in the expectation that the employees would work for the entire calendar year. On February 1, 2007, one employee terminated employment. The employer may not recoup from that employee’s HSA any portion of the contribution previously made to the employee’s HSA.