Health Savings Account (HSA)
A Health Savings Account (HSA) is a tax-favored savings for individuals and families covered by high deductible health insurance plans (HDHP).
Benefits of opening an HSA:
- Tax savings – tax-deductible contributions, tax-deferred earnings, tax-free withdrawals (if used properly)
- Flexible – pay for current medical expenses or save for future ones
- Funds in the HSA grow tax-free and carry over year after year
- The HSA stays with you, regardless of change in coverage or employment
To be eligible for an HSA, you must meet the following requirements:
- Be enrolled in a qualified high deductible health plan (HDHP)
- Not be covered by another non-HDHP (with limited exceptions)
- Not enrolled in Medicare
- Not eligible to be claimed as a dependent on another person’s tax return
Please contact us or visit your local branch for more information or to open a Health Savings Account.
Because certain restrictions apply, please seek competent tax advice.