Health Savings Accounts (HSAs):
Healthcare Made More Affordable
Health Savings Accounts (HSAs): Healthcare Made More Affordable
Like death and taxes, healthcare expenses are a sure thing. So why not make those expenses more affordable? A Health Savings Account allows you to make tax-deductible contributions to — and earn tax-free interest on — an account earmarked for doctor’s bills, prescriptions, and other inevitable healthcare expenditures.
How does an HSA work?
HSAs function as both checking and savings accounts. Use checks or a debit card to pay medical balances—with help from free tools like check cards, online banking, EZPay, and e-statements. And don’t forget to use the account to save for future qualified medical and retiree health expenses. Why? Because whether you change health plans or (finally!) retire from the company sponsoring your HSA, the money in your HSA is always yours to keep. Yep, even the interest paid on those qualified balances.
What are the main advantages of a Health Savings Account?
There are many benefits to Heritage Bank HSAs:
- It is FDIC insured.
- Contributions made to the account are tax deductible.
- Withdrawals for qualified medical expenses are tax free.
- Interest earned on the HSA is tax free.
- You own, control, and invest the money in your HSA.
- Unused funds carry over from year to year without limit.
- Enjoy easy access to the account through your Heritage debit card.
How do I qualify for a HSA?
To qualify for a Health Savings Account, you must be covered by a high deductible health plan (HDHP). And if you’re entitled to Medicare benefits or are claimed as a dependent by someone else, you won’t be eligible. Not sure you qualify? Talk to your employer or a Heritage Bank customer service representative.
*Individuals entitled to Medicare benefits or those being claimed as a dependent are not eligible. For a complete description and full disclosure of account details, please contact a Heritage Bank customer service representative.