Health Savings Accounts

Overview

A Health Savings Account (HSA) works with a High Deductible Heath Plan (HDHP), and lets you set aside a portion of your paycheck—before taxes—into an account to pay for medical expenses that aren’t covered by your plan. It can also help you plan for future medical expenses.

You and your employer can deposit money into your HSA account up to an annual per person or family limit set by the IRS.  When you enroll, an account will be created for you at the HealthcareBank and you’ll be able to access your account through Benesyst's secure, easy-to-use web portal where you can track your account balance, view your investment accounts and submit requests for reimbursements.

Click here for additional information and contribution limits.

Advantages of a Health Savings Account

• The HSA belongs to you! Funds in your HSA account stay with you, even if you change jobs.
• Reduces your taxable income.
• The money is tax-free both when you put it in, and when you take it out to cover qualified medical expenses.
• Grows with you. If you maintain a minimum balance of $2,000, your additional funds may be invested in mutual funds yielding tax-free earnings.
• Helps you plan for the future. Until you turn 65, withdrawals used for eligible expenses are tax free. After you turn 65, or if you become disabled, your HSA account becomes similar to a regular IRA. Withdrawals you use for non-eligible expenses will be taxed at your regular income tax rate but won’t incur additional penalties.

Additional Resources