Health Savings Account Facts

Health Savings Accounts or HSAs

HSAs are the latest news in affordable health care. HSAs combine a qualified High Deductible health Plan (HDHP) with a Health Savings Account. The HDHP covers catastrophic illness and injury, while the HSA covers routine expenses until the deductible is met. HSAs offer a way to set aside funds to pay for today's and tomorrow's medical expenses.

Why do HSAs spell affordable health care?

HSAs provide you with tax savings both when you contribute the funds and when you use the funds. Annual contributions reduce your taxable income and your qualified medical expenses are never taxed. All of the money you set aside in your HSA grows tax-deferred until age 65, when funds can be withdrawn for any non-medical purpose (ordinary tax applies), or tax-free when used for medical expenses.

What is the advantage to an HSA?

When comparing other consumer-driven health care options to an HSA, an HSA provides the most flexible and long-term investment opportunities to consumers. Unlike most consumer-driven health care options, HSAs roll over from year to year. The money belongs to the individual and is portable if employment changes. Availability is not limited by employer size. And, funds can be used for non-medical purposes after age 65 (ordinary tax applies).

HSA Facts

HSAs can be used by individuals or employers of any size with an HDHP.
For 2008, employers and/or employees can make contributions up to a total of $2900 for an individual plan and $5800 for a family plan regardless of deductible.
The tax-advantaged accounts permit unused funds to roll over from year to year, regardless of the consumer's employer.
Distributions for qualified medical, dental and vision expenses are tax-free; other distributions are subject to income tax and a 10 percent penalty.

HSA Eligible Expenses by HSA Bank




Health Savings Account Facts Health Savings Accounts or HSAs HSAs are the latest news in affordable health care. HSAs combine a qualified High Deductible health Plan (HDHP) with a Health Savings Account. The HDHP covers catastrophic illness and injury, while the HSA covers routine expenses until the deductible is met. HSAs offer a way to set aside funds to pay for today's and tomorrow's medical expenses. Why do HSAs spell affordable health care? HSAs provide you with tax savings both when you contribute the funds and when you use the funds. Annual contributions reduce your taxable income and your qualified medical expenses are never taxed. All of the money you set aside in your HSA grows tax-deferred until age 65, when funds can be withdrawn for any non-medical purpose (ordinary tax applies), or tax-free when used for medical expenses. What is the advantage to an HSA? When comparing other consumer-driven health care options to an HSA, an HSA provides the most flexible and long-term investment opportunities to consumers. Unlike most consumer-driven health care options, HSAs roll over from year to year. The money belongs to the individual and is portable if employment changes. Availability is not limited by employer size. And, funds can be used for non-medical purposes after age 65 (ordinary tax applies). HSA Facts HSAs can be used by individuals or employers of any size with an HDHP. For 2008, employers and/or employees can make contributions up to a total of $2900 for an individual plan and $5800 for a family plan regardless of deductible. The tax-advantaged accounts permit unused funds to roll over from year to year, regardless of the consumer's employer. Distributions for qualified medical, dental and vision expenses are tax-free; other distributions are subject to income tax and a 10 percent penalty. HSA Eligible Expenses by HSA Bank	Frequently Asked Questions About HSAs Companies We Represent Contact Kintz Insurance Agency
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