Open enrollment means picking a health plan — don’t guess. Enter both plans’ premiums, deductibles, and HSA details to find which saves you more.

HDHP vs PPO: Which Health Plan Actually Costs Less?

Compare health plans and find your break-even point. Enter each plan’s premium, deductible, coinsurance, out-of-pocket max, employer HSA contribution, and your expected medical spending — get the true annual cost of both plans, the winner, and the exact spending level where the cheaper plan flips.

🏥 HDHP + HSA

High-deductible plan with a Health Savings Account

🛡️ PPO

Traditional plan with copays and lower deductible

2026 IRS figures used: an HDHP must have a minimum annual deductible of $1,650 (individual) / $3,300 (family) to qualify for an HSA. 2026 HSA contribution limits: $4,400 (individual) / $8,750 (family), plus a $1,000 catch-up contribution if you are 55 or older. Employer + your own HSA contributions combined may not exceed these limits — this calculator caps them automatically. Estimates only; check your plan’s summary of benefits for copays, drug tiers, and network rules not modeled here.

100% private

All math runs in your browser. Your salary, spending, and plan details never leave your device.

No signup needed

No account, no email — compare your open-enrollment options in under a minute.

Free forever

Re-run it for every scenario: low, expected, and worst-case medical years.

How to use

  1. 1Enter both plans

    Pull the numbers from your open-enrollment packet: monthly premium, deductible, coinsurance %, and out-of-pocket max for the HDHP and the PPO, plus any employer HSA seed money.

  2. 2Estimate your spending

    Enter what you expect to spend on medical care next year — look at last year’s claims. Add your tax rate so HSA tax savings are counted correctly.

  3. 3Read the winner

    The calculator shows the true all-in annual cost of each plan (premiums + what you pay for care − HSA benefits) and names the cheaper one.

  4. 4Check the break-even

    The chart shows where the plans cross. If your likely spending sits well below the break-even point, the HDHP usually wins — and vice versa.

Why this calculator beats guessing

📊 True total cost

Not just premiums — it adds your share of medical bills (deductible, then coinsurance, capped at the out-of-pocket max) for an honest apples-to-apples number.

💰 HSA math included

Counts your employer’s HSA contribution and the tax savings on your own HSA contributions — the two benefits that make HDHPs win more often than people expect.

⚖️ Break-even point

Finds the exact medical-spending level where the cheaper plan flips, so you can decide based on your real health outlook.

📈 Cost-vs-spending chart

A visual curve of both plans from $0 to $25,000 in spending, plus a comparison table at key spending levels.

✅ 2026 IRS limits built in

Uses 2026 HDHP minimum deductibles and HSA contribution limits, with automatic capping and a warning if your HDHP deductible looks too low to qualify.

🔁 Scenario-friendly

Change one number and everything recalculates instantly — test a healthy year, an average year, and a surgery year in seconds.

FAQs

How is total annual cost calculated?
Annual premiums (monthly × 12) plus what you pay for care: your full deductible first, then your coinsurance share of costs above the deductible, capped at the out-of-pocket maximum. For the HDHP we then subtract the employer’s HSA contribution and the income-tax savings on your own HSA contributions, since that money offsets your costs.
What is the break-even point?
The medical-spending amount where both plans cost you exactly the same over the year. Below it, one plan wins; above it, the other does. The chart marks it with a vertical line so you can see which side your expected spending falls on.
When does an HDHP usually win?
HDHPs tend to win in low-spending years (premiums are much cheaper and you pocket the HSA money) and sometimes in catastrophic years (the out-of-pocket max plus HSA offsets can beat the PPO’s higher premiums). PPOs often win in the middle range. Your numbers decide — that is what the break-even shows.
What are the 2026 HSA limits?
For 2026: $4,400 for individual coverage and $8,750 for family coverage, plus a $1,000 catch-up contribution if you are 55 or older. An HDHP must have at least a $1,650 individual / $3,300 family deductible to be HSA-eligible. This calculator enforces the contribution caps automatically.
Why does my tax rate matter?
HSA contributions are pre-tax, so every dollar you contribute saves you roughly your marginal tax rate. At a 22% rate, a $2,000 HSA contribution saves about $440 in taxes — a real part of the HDHP’s value that premium-only comparisons miss.
Does this include copays or prescriptions?
No — copays, drug tiers, and out-of-network rules vary too much to model simply. If your PPO has heavy copays or expensive prescriptions, its real cost is higher than shown; treat this as a strong apples-to-apples estimate and read your plan’s summary of benefits.
Is my information private?
Yes. Every calculation happens locally in your browser. Nothing you type is sent anywhere or stored.

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