Health Savings Account (HSA)
Even when you have budgeted for everything, from your contact lenses to your annual deductible, medical bills can still be overwhelming! A Health Savings Account is designed to give Eligible Individuals* the advantage of depositing money on a pre-tax* basis to help pay for qualified medical expenses that are not covered by insurance.
Best of all, the balance rolls over from one year to the next and can move with you if you change jobs or health plans.
Other features and benefits include:
- No monthly service charge
- Premium interest rate for balances over $500
- Contributions/deposits can be made via payroll deduction and direct deposit
- Distributions/withdrawals can be made with a debit card and check writing access
- Free NetTeller Online Banking
- Instant access to your available balance
- No claims process
- Simply maintain IRS records (receipts)
- Use funds only for “qualified medical expenses” as defined in IRS Publication 502
- One-time set up fee of $15.00
The maximum amount that can be contributed to an HSA is:
2010 Calendar Year
- Individual $3,050
- Family $6,150
Additional “Catch-up” contributions for individuals age 55 and over are $1,000 for calendar year 2010.
* Please consult your tax advisor to determine your eligibility for this account and any tax implications it may have.
