Health Savings Account (HSA)

When you enroll in the HDHP, you may be eligible to make tax-exempt contributions to an HSA – a tax-savings account that is only available when you are enrolled in an HDHP. With an HSA you may set aside pre-tax dollars into a savings account which can be used to pay for eligible medical, prescription drug, dental, and vision expenses or can be saved for future use. 

The IRS sets limits on the maximum that can be deposited each year. The firm utilizes Wex Benefits to administer the HSA. The annual amount you elect to deduct through payroll contributions, if any, will be evenly deducted from all remaining pay periods after your election is submitted (up to a maximum of 26 pay periods). You can enroll and change your HSA payroll elections (increase, decrease, or cease) throughout the year.

IRS Annual Maximum HSA Contributions

Key advantages of an HSA:

• Funds won’t expire: Your HSA balance is yours. If you don’t spend your balance in a year, all funds roll over into the following year.
• The money in your account is yours to keep: You own your HSA. Think of it as a personal savings account for qualified health care expenses. If you switch jobs or retire, you’ll take it with you.
• Triple tax advantages: Once you’ve opened your HSA, you’ll contribute pre-tax money, your account will grow tax-free, and you may pay for eligible health care expenses tax-free.

To see a complete list of eligible expenses for you and your dependents, visit www.irs.gov/pub/irs-pdf/p502.pdf.