I have an HSA (Health Savings Account) that I grew years ago when I was married. My ex, or "wife at the time", was considering getting some disks in her back fused. She had the pads removed while we were dating. Our company would only pay 20% of that surgery, so I dumped the maximum amount I could into the HSA. It got up to 15 grand, well covering the surgery cost to us of 10 grand. I got laid off, and transferred that HSA to a bank that offered it. Now I work at another company, and I have transferred that HSA over here so that I do not pay annual maintenance fees. It is also invested in a slow moving fund. It is at 20 grand, the last time I looked. I have been talking to a new company about starting with them, but they do not offer the HSA option. I rarely get sick, so I'm thinking about cashing it out. I know there are penalties for doing this, but I do not know how much. I also know that this will likely add 20 grand to my Gross Income, as reported to the IRS, which will likely put me into a higher tax bracket. What I would like to know is how can I get this HSA cashed out with the lowest fees and without going into a higher tax bracket?