All of the following are true regarding Health Savings Accounts (HSAs) EXCEPT: HSA funds can be invested. Contributions made to the HSA by the plan participant are tax-deductible as an adjustment to gross income (above the line) If an employer makes contributions to an HSA on behalf of an employee, the employer contributions are included in the taxable income of the employee. To be eligible to make HSA contributions, an individual must be covered by a high deductible health insurance plan