Republican plan to replace ACA subsidies with expanded HSAs gains momentum ahead of Jan. 30 deadline.

A Republican proposal to replace expired Affordable Care Act subsidies with health savings accounts (HSAs) is gaining traction ahead of a January 30 congressional deadline. The plan, backed by growing support, would expand HSA eligibility to all marketplace enrollees, offering tax-advantaged accounts for medical expenses. Proponents cite a 16% rise in HSA savings since mid-2025, reaching $159 billion in 40 million accounts, and argue the shift empowers consumers, reduces insurance dependence, and eases financial pressure from rising healthcare costs. While Democrats push to extend ACA subsidies, the GOP’s HSA alternative is emerging as a key contender, pending legislative action.