Question 1

Are there any monthly or annual fees for a Lively HSA in 2026?

Accepted Answer

For individual and family accounts opened directly, Lively charges $0 for monthly maintenance, account opening, and account closing, with no minimum balance required for the cash account. However, if you use their Schwab self-directed brokerage option, there is a $24 annual fee. This fee is waived if you maintain a cash balance of $3,000 or more in your Lively HSA. Employer-sponsored plans have a $0.

Question 2

What are Lively's investment options and their associated fees?

Accepted Answer

Lively offers two main paths for investing your HSA funds. The first is a Schwab self-directed brokerage account, which gives you access to a full range of stocks, ETFs, and mutual funds; this carries the $24 annual fee mentioned, waivable with a $3,000 cash balance. The second is a guided portfolio service, which manages a diversified portfolio for you for an annual fee of 0.50% on assets under management.

Question 3

How does Lively's cash interest rate compare to Fidelity's in 2026?

Accepted Answer

Lively's standard FDIC-insured cash APY is tiered, starting at 0.02% and reaching a top rate of 0.12% for balances over $10,001. They also offer a higher-yield 'HSA Boost' (non-FDIC) cash option with tiers up to 0.525% APY at the same balance level. In contrast, as of April 2026, Fidelity's default cash option for its HSA was cited at 3.37% APY, which is materially higher.

Question 4

What happens if my Lively HSA cash balance drops below $3,000?

Accepted Answer

If your cash balance in the Lively HSA falls below $3,000 at any point, the $24 annual fee for the Schwab brokerage account will be charged. This fee is assessed annually, so your balance on the assessment date determines if you pay. It does not affect the $0 monthly maintenance fee. To avoid this fee, you need to plan your investment transfers carefully, leaving at least $3,000 in the cash account or moving funds back before the fee date.

Question 5

Is Lively or Fidelity better for HSA fees in 2026?

Accepted Answer

The better choice depends on your balance and strategy. Lively has $0 base account fees, while Fidelity also has zero account fees and zero minimums. However, Fidelity charges a $25 account closing fee, whereas Lively's is $0. For investors, Lively's potential $24 brokerage fee (unless you keep $3,000 cash) contrasts with Fidelity's no-fee investment platform. If you prioritize high cash yields, Fidelity's ~3.37% APY is far superior to Lively's rates.

Question 6

Can I use my Lively HSA to pay for Direct Primary Care (DPC) in 2026?

Accepted Answer

Some 2026 reviews indicate that Direct Primary Care (DPC) monthly fees may be an eligible HSA expense up to certain limits, without affecting your HSA qualification. However, this is a specific regulatory point that changes. You must verify this against the official IRS Publication 502 for 2026 before using HSA funds for DPC, as the rules for qualifying medical expenses are strict and missteps could lead to tax penalties.

Question 7

What are the HSA contribution limits for 2026 that apply to my Lively account?

Accepted Answer

The IRS sets HSA contribution limits annually. For 2026, the limit is $4,400 for individual HDHP coverage and $8,750 for family HDHP coverage. If you are age 55 or older at any point during the tax year, you can contribute an additional $1,000 as a catch-up contribution. These limits apply regardless of your HSA provider, including Lively. Exceeding these limits results in IRS penalties, so accurate tracking is essential.

Question 8

Does Lively charge a fee to open an HSA?

Accepted Answer

No, Lively does not charge a fee to open a Health Savings Account. This applies to both individual and family accounts opened directly by consumers. Employer-sponsored plans also have no per-employee setup fee for the employer.

Question 9

Is there a monthly maintenance fee for Lively HSAs?

Accepted Answer

Lively does not charge a monthly maintenance fee for individual or family accounts. The company's model is based on offering $0 monthly fees, which is a key part of its marketing to cost-conscious savers and investors.

Question 10

What is the fee to close or transfer a Lively HSA?

Accepted Answer

Lively charges a $0 fee to close your account or to complete a full transfer out to another HSA provider. This contrasts with some competitors, like Fidelity, which may charge a closure fee (e.g., $25).

Question 11

Are there any minimum balance requirements?

Accepted Answer

There is no minimum balance required to open or maintain the cash portion of a Lively HSA. However, to have the $24 annual brokerage access fee waived, you must maintain a minimum cash balance of $3,000 or more.

Question 12

How do employer plan fees differ from individual accounts?

Accepted Answer

For employers offering Lively as a benefit, the cost is $0.00 per employee per month. However, Lively requires a $200 monthly minimum across all employee contributions and employer funding. If total monthly deposits are below $200, the employer may be responsible for the difference.

Question 13

When is the $24 annual brokerage fee charged?

Accepted Answer

The $24 fee for access to the Schwab self-directed brokerage account is charged annually. The specific date can vary. The fee is waived if your Lively cash account balance is $3,000 or above on the date the fee is assessed.

Question 14

What can I invest in through Lively's Schwab brokerage?

Accepted Answer

The Schwab self-directed brokerage account provides access to a wide array of investment choices, including individual stocks, exchange-traded funds (ETFs), mutual funds, bonds, and more. You have full control over your investment selections within the Schwab platform.

Question 15

How does the guided portfolio service work?

Accepted Answer

Lively's guided portfolio is a managed service where you answer questions about your risk tolerance and time horizon. Lively then creates and manages a diversified portfolio of ETFs for you. For this service, they charge an annual advisory fee of 0.50% of your assets under management in that portfolio.

Question 16

Can I have both the cash account and investments?

Accepted Answer

Yes. Your Lively HSA consists of a cash account (FDIC-insured or HSA Boost) and an investment account (Schwab or guided portfolio). You decide how much money to keep in cash for expenses and how much to transfer to your chosen investment option to grow for the future.

Question 17

Are there trading commissions or fund fees on top of Lively's fees?

Accepted Answer

Lively and Schwab do not charge trading commissions for online stock and ETF trades. However, you will still pay the expense ratios of any mutual funds or ETFs you own. These are separate from Lively's $24 annual fee or the 0.50% guided portfolio fee.

Question 18

Is the $24 brokerage fee per account or per year?

Accepted Answer

The $24 fee is an annual fee for having access to the self-directed brokerage feature. It is charged once per year per HSA account, not per transaction or per investment holding.

Question 19

What happens to my investments if I close my Lively HSA?

Accepted Answer

If you wish to close your Lively HSA, you must first sell any investments in your brokerage or guided portfolio and transfer the cash proceeds back to your Lively cash account. Once everything is in cash, you can initiate a full account transfer or closure to another provider.

Question 20

What is the difference between FDIC Cash and HSA Boost?

Accepted Answer

The standard FDIC Cash account is insured up to $250,000 per depositor. HSA Boost is a non-FDIC cash option that typically offers higher interest rates. You must actively select HSA Boost in your account settings; it is not the default. The trade-off is slightly higher yield for no FDIC insurance.

Question 21

What are the current APY tiers for Lively's cash accounts?

Accepted Answer

For the FDIC-insured cash account, APY tiers in 2026 are: 0.02% ($0-$1,000), 0.03% ($1,001-$2,500), 0.055% ($2,501-$5,000), 0.085% ($5,001-$10,000), and 0.12% ($10,001+). HSA Boost tiers are higher: 0.10%, 0.15%, 0.25%, 0.35%, and 0.525% APY for the same balance brackets.

Question 22

Is interest compounded and paid monthly?

Accepted Answer

Yes, interest on both the FDIC-insured cash and the HSA Boost account is compounded daily and credited to your account monthly. This helps your cash balance grow, though the rates are low compared to many high-yield savings accounts or competitor HSAs.

Question 23

Why is Lively's cash APY so much lower than Fidelity's?

Accepted Answer

Lively partners with banks to hold its cash deposits, and the interest rates offered are based on those traditional banking relationships. Fidelity, as a large brokerage, can place cash in money market funds or other instruments that currently yield much higher returns, like the cited 3.37% in April 2026.

Question 24

Should I use HSA Boost for my emergency medical cash?

Accepted Answer

If you are comfortable forgoing FDIC insurance for a marginally higher yield, HSA Boost is an option. For your core emergency medical fund, the FDIC insurance provides safety. The actual yield difference, while percentage-wise significant, results in small absolute dollar amounts unless you maintain a very large cash balance.

Question 25

Can I automatically sweep cash into investments?

Accepted Answer

Lively does not offer an automatic sweep feature from cash to investments. You must manually initiate transfers from your cash account to your chosen investment account (Schwab or guided portfolio). This requires active management to keep your cash balance optimized for fees and growth.

Question 26

Who is the Lively HSA best for?

Accepted Answer

Lively is ideal for savers who prioritize $0 base fees, plan to maintain at least $3,000 in cash to avoid the brokerage fee, and are comfortable with lower cash yields. It's also a good fit for those who want a simple, low-cost managed portfolio option at 0.50% AUM.

Question 27

Who should consider a different HSA provider?

Accepted Answer

Individuals who keep large cash balances for near-term medical expenses should look elsewhere due to Lively's low APY. Active investors who want a fee-free brokerage platform may prefer Fidelity. Those with smaller balances who can't meet the $3,000 cash threshold to waive the $24 fee might find better overall value with a completely free provider.

Question 28

How does Lively compare to Fidelity on total cost?

Accepted Answer

For a user with a $5,000 cash balance and $10,000 invested: Lively might charge $0 base fees + $24 brokerage fee (if cash <$3k) + fund expenses. Fidelity charges $0 base fees + $0 investment fees + fund expenses, but has a $25 closing fee. The higher Fidelity cash yield often offsets any minor fee differences, making it cheaper for many.

Question 29

Is Lively a good HSA for long-term retirement healthcare investing?

Accepted Answer

For long-term investing, Lively's Schwab brokerage provides excellent investment choices. The $24 annual fee is minor relative to a large portfolio, but the requirement to keep $3,000 in low-yield cash creates a drag on overall returns. A provider with no fees and higher cash yields may be more efficient for pure growth.

Question 30

Can I use Lively if my employer uses a different HSA provider?

Accepted Answer

Yes, you can open an individual Lively HSA regardless of your employer's chosen provider. However, to make pre-tax payroll contributions (which save you FICA taxes), you must use your employer's sponsored HSA. You can periodically transfer funds from your employer's HSA to your Lively HSA, a process called an indirect rollover, but limits apply.

lively hsa fees investment options 2026: Your Questions Answered

Account Fees and Minimums

Investment Options and Management

Cash Holdings and Interest Rates

Comparisons and Strategic Fit

Summary

Pro Tips

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