How an HSA Works
- An HSA is a personal savings account that allows and employee the ability to set aside tax-free dollars for current and future healthcare expenses for them and their dependents.
- An employee is eligible to enroll in an HSA if they are enrolled in an HSA-eligible high deductible health plan.
- The HSA is funded by payroll deduction, online banking transfer or a direct contribution.
- Use the funds to pay for current healthcare expenses, preserve funds for tax-free growth, or invest the funds for long-term savings.
HSA Benefits
- HSA-eligible health plans typically have lower monthly premiums, giving the employee an opportunity to contribute those savings into an HSA.
- The HSA stays with the employee, even if the employee leaves the employer.
- Unlike and FSA, unused funds stay in the account from year to year and earn interest tax-free.
- Money goes in tax-free, grows tax-free and withdrawals are tax-free if used on eligible items.
Online and Mobile Access
- View account balance and activity
- Submit qualified expenses for reimbursement
- Make contributions
- Invest and view investment activity
- View important alerts and communications
- Find ways to save on prescriptions with the virtual medicine cabinet
- Search for providers or procedure and drug prices
- Access a funding calculator to help save for the future