Between cooking the turkey, decorating the house and buying gifts for loved ones, the holiday season can be a stressful time that leads to poor health choices, whether it’s neglecting exercise or missing out on health care savings.
Don’t let holiday stress negatively affect your health and your wallet. Here are five of the best health decisions you can make this December.
1. Contribute to a health savings account
Time is running out to lower your tax bill and save money in 2014 for future health care expenses. A health savings account (HSA) helps do both, as it provides a triple-tax advantage. You contribute money from your paycheck before it’s taxed, investments grow tax-deferred and funds can be withdrawn tax-free if used for qualifying medical expenses.
Just like a 401(k), money contributed to an HSA reduces your taxable income, which means a potentially lower tax bill. For example, if you earn $60,000 a year from your job and contribute $3,000 this year to an HSA, your taxable income will be $57,000.
Think of it like this: if you earn $3,000 from work and it’s taxed at a rate of 25%, you’d pay $750 in tax and have $2,250 left to pay for medical expenses. But with an HSA, you’d contribute the full $3,000, and you’d have that full amount to pay for your medical expenses, plus any interest or dividends you may earn on investments in the account.
Anyone under age 65 can open an HSA, as long you as participate in an eligible high-deductible health plan. If you qualify, you can contribute up to $3,300 a year if you have individual coverage, or $6,550 for family coverage. These limits go up by $50 and $100, respectively, in 2015, so you’ll be able to contribute a bit more next year.
2. Pick a health insurance plan for 2015
If you plan on purchasing health insurance on your own next year, the open enrollment period for 2015 coverage extends through Feb. 15, 2015, but it’s wise to get the ball rolling as soon as you can. If you’ve enrolled in a 2014 health care plan through the Affordable Care Act (ACA) marketplace, your coverage ends on Dec. 31. Your plan will be automatically renewed for 2015, but now you can re-evaluate your plan and enroll in a new one if necessary.
Keep in mind that ACA coverage starts on the first day of the month after you enroll. To have coverage by Jan. 1, 2015, you’ll need to renew or change your plan by Dec. 15. If you miss the Feb. 15 deadline, you won’t be able to sign up for a health plan for the rest of 2015. You’ll also face a penalty. For 2015, it’s 2% of your income, or $325 per adult and $162.50 per child, whichever is greater.
If you get your health insurance from your employer, your open enrollment period is likely around this time as well. While employer-provided insurance typically offers fewer options, it’s still a good idea to consider all of your choices carefully.
Check out Nerdwallet’s guide to choosing health insurance for the best tips on choosing the most affordable plan for your health needs.
3. Spend remaining flexible spending account (FSA) money
Like an HSA, an FSA is a tax-advantaged vehicle that lets you contribute pre-tax dollars to help save and pay for qualifying health care expenses. While an HSA lets you build up savings over time, an FSA works a bit differently.
At the beginning of each year, you designate how much you want to contribute to an FSA. You use money to pay for out-of-pocket health care expenses like deductibles and copayments in that year.
The downside: If you don’t use the money in the account by the end of the year, you’ll only be able to carry over up to $500 of the unused balance and will likely forfeit the rest.
Check out your plan to see if your employer has elected to include a grace period. If this is the case, you’ll likely have until March 15 to use your FSA funds, but check with your employer for specifics. If this isn’t the case, there’s still time to spend the unused money, so consider visiting your doctor for routine exams, the dentist for teeth cleaning, or an optometrist for an eye exam or prescription glasses and contacts. The IRS gives this list of included medical and dental expenses.
4. Reduce stress and exercise regularly
Keep stress to a minimum during the busy holiday season, because it contributes to illness and disease, recommends Patricia Bevlock, a certified registered nurse practitioner and owner of Advanced Life & Wellness Coaching.
“During the holidays, you have to be with family members you might not necessarily want to be with and put up with certain things like holiday parties for work,” she says. “Stress can wear down the body and weaken the immune system.”
Ways to reduce stress include eating healthier, getting enough sleep, reducing alcohol and caffeine consumption and exercising regularly.
“When you’re out shopping, maybe you just want to walk the mall a little bit more for exercise, or park further away from the mall,” Bevlock says. “It keeps you physically active, helps reduce your stress and keeps your immune system strong.”
Here’s another tip: Install a mobile app on your phone that tracks both calories consumed and calories burned during exercise. This will help keep you motivated to make healthier choices during the holidays, Bevlock says. Two popular options include MyFitnessPal and Lose It!
5. Wash your hands often
One of the most important things you can do to prevent the spread of dirt, germs and infections this winter is to wash your hands regularly and use anti-bacterial gels, says Bevlock.
“You’ll be at a lot of parties, shaking hands,” she says. “It’s the best thing you can do to prevent diseases, the flu and the cold.”
You should wash your hands before, during and after preparing food, after using the bathroom, before and after treating a cut or a wound, after touching an animal and after blowing your nose, coughing or sneezing, according to the Centers for Disease Control and Prevention.
While the holiday season is a time to relax and spend with family, it can also lead to bad habits that can damage your health and your wallet. But by making these five smart health moves, you can finish off the year strong and be in great shape for 2015.
Holiday cheer photo via Shutterstock.
