Health Savings Account
The purpose of a Health Savings Account (HSA) is to help those with high deductible health plans pay for current and future qualified medical expenses.
HSAs are an attractive opportunity because they have fewer restrictions and allow unspent balances to carry over and accumulate year after year. An individual owns the HSA and makes decisions regarding contributions and distributions.
HSAs can be funded by you, your employer or both, and accounts can be set up through financial institutions and health insurance providers or other approved administrators.
See our Health Savings Account FAQ for more information.
- Benefits
Enjoy control over how you manage health care expenses and enjoy the benefits at no additional cost.
- Use a Check Card to pay for qualified expenses wherever MasterCard® is accepted
- There is no minimum deposit to open your account
- Every dollar in your account earns interest
- Online banking
- Bill pay
- eStatements
- Funds remain in the account if you do not use them
- Keep your HSA even if you change jobs
- Eligibility
Eligible individuals covered under high-deductible health plans may open an HSA and use the money (including earnings), tax-free, to pay for qualified medical expenses.
To be eligible:
- You must be covered by a health plan with a minimum deductible of $1,200 for individuals or $2,400 for families.
- Your annual out-of-pocket expenses (including deductibles and co-pays) cannot exceed $6,050 for individuals or $12,100 for families.
- Maximum Contribution cannot exceed $3,100 for individuals and $6,250 for families.
- You cannot be covered by other health insurance.
- You cannot be enrolled in Medicare.
- You cannot be claimed as a dependent on someone else's tax return.
There are no eligibility restrictions regarding income level and there is no requirement of earned income to make contributions.
