, which provides a digital platform to easily manage health savings accounts (HSAs), announced today that it has secured a $4.2 million seed round.
Investors include Streamlined Ventures, Transmedia Capital, Y Combinator, SV Angel, PJC, The Durant Company (Kevin Durant and Rich Kleiman), Liquid 2 Ventures, Haystack Partners, and other angel investors.
The San Francisco-based startup launched its platform in March after graduating from Y Combinator’s Winter 2017 batch.
Lively helps employees better manage their HSAs by consolidating all the administrative and financial information onto one platform.
While the goal of HSAs is to allow Americans to save tax-free money for their out-of-pocket medical expenses, Lively cofounder and CEO Alex Cyriac argues that HSAs can also create the flexibility to save for health costs over the long-term, well into retirement.
“HSAs were not designed to be used as retirement vehicles, but they actually provide more tax-benefits than a traditional retirement vehicle like a 401k or IRA and require no mandatory distributions, so you can save well into your 70s, 80s, and 90s,” he wrote in an email to VentureBeat.