HSA (Health Savings Account)
A Health Savings Account (HSA) is a tax-favored account used in conjunction with an HSA-compatible health plan. The HSA allows you to contribute funds on a pre-tax or tax-deductible basis, which you may use to pay for eligible medical expenses.
Click to view the current contribution limits set by the IRS. Your health plan representative will help you determine if your plan is HSA compatible.
An HSA functions like a Checking Account:
Make unlimited transactions with checks and/or a FREE Visa debit card.
- NO annual fee.
- Monitor your HSA through Online Banking (Bill Pay is also available).
Benefits of opening a Health Savings Account:
- Encourages you to save money for medical expenses and emergencies.
- Offers Tax Benefits:
- Contributions are tax-deductible (please consult with your tax adviser for details).
- Earnings grow tax-deferred.
- Distributions for qualifying medical expenses are tax free.
- Provides a way for employers to contribute to their employee’s health savings account.
- Allows money to accumulate year to year since it does not have to be used up each year. Lets you roll over funds directly from a medical savings account.