Health Savings Accounts
What is a Health Savings Account?
- An HSA is basically a savings account for healthcare expenses that has some really great tax incentives.
- You must be enrolled in a High Deductible Health Plan (HSA-A or HSA-B) OR a Minimum Value Plan to participate
- Your contributions are tax-free with the following maximums:
- 2020 = $3,550 annual max individual; $7,100 annual max family
- 2021=$3600 annual max individual, $7200 annual max family
- Withdrawals for eligible expenses is tax-free -The money is 100% employee-owned and portable
Watch a quick video for an explanation of HSAs
Here is a video on the Benefits of a Health Savings Account
Special note: Moving to a High Deductible Health Plan and opening up a Health Savings Account may be a good idea for you. Since High Deductible Health Plans cost you less per month, you can save money on your monthly contributions and put those savings in your HSA. Then, when you have a medical issue you can use your money in your HSA to pay your co-pays, deductibles, or other qualifying health expenses!
STSIG New Enrollee Contribution:
Qualified first-time HDHP enrollees will be eligible for an STSIG Health Savings Account contribution of $500 for individuals and $1000 for familes with a 100% payment at the end of November. We will give you money to save money.
Another special note: Non-qualified withdrawals are subject to income tax and a 20% penalty.
Qualifying for an HSA
- You must be enrolled in a qualified high deductible health plan (HDHP).
- You mustn't have other health coverage, unless the other coverage is also a High Deductible Health Plan.
- You must not be enrolled in Medicare or Tri-Care.
- You cannot be claimed as a dependent on someone else's tax return.
Health savings accounts are through Payflex, which acts as your bank to keep your HSA funds in. You can use a special "Credit card" to use your HSA funds to pay for qualified medical bills.
Here is a video on how to use your Mastercard Payflex Card
Contact a PayFlex Advocate:
Monday - Friday, 7:00 am - 7:00 pm (CT)
Saturday, 9:00 am - 2:00 pm (CT)