What is an HSA?
Looking for Individual coverage or trying to choose a plan for your employees? Landmark Insurance & Financial Group can help you find the right health insurance coverage that meets your needs. When choosing a high deductible plan be sure to speak with a Landmark Health Insurance Specialist about a Health Savings Account (HSA).
A health savings account (HSA) is a tax-advantaged medical savings account available to taxpayers in the United States who are enrolled in a high-deductible health plan (HDHP). The funds contributed to an account are not subject to federal income tax at the time of deposit. Some of these medical expenses include:
- Deductibles & Co-pays
- Vision Expenses
- Dental Expenses
- Over the Counter Medications
- Eligible IRS Expenses
An HSA is a great plan because it is NOT a use-it-or-lose-it plan; your money rolls over to the next year. Unlike flexible spending accounts, you do not lose money when your policy renews, it rolls over to the next year and your HSA continues to grow tax-free.
There are Contribution Maximums that are regulated yearly buy the IRS that fluctuate with the cost-of-living adjustment, and are divided into three categories. (1) self, (2) family -which is self + at least 1, and (3) Catch-up or 55 or older.
The IRS HSA Contribution Maximums for 2017 are:
- Self: $3,400
- Family: $6,700
- 55 +: $1,000
Our specialists here at Landmark can help you determine whether your health insurance plan is an HSA qualified plan by determining whether your minimum deductible and maximum out of pocket for the year meet the qualifying standards for an HSA. Contact Landmark Insurance today to learn more!
*An HSA is also something you should consult with your accountant about, as well as a Landmark Insurance Specialist in regards to the new yearly HSA Contribution Limits.