Home Get Started HSA Basics Use Your Money FAQs "How-To" Video

CAN I LOSE ELIGIBILITY FOR AN HSA?

You lose eligibility to establish or contribute to an HSA if you become covered by a health plan that is not a QHDHP, become entitled to Medicare or become a dependent on another person's tax return. However, you can keep the HSA and continue to use the funds on a tax-exempt basis for qualified medical expenses. But you can't contribute to the HSA or establish another HSA unless you become eligible again.

HOW DOES AN HSA PROVIDE TAX SAVINGS?

With an HSA, you’ll enjoy tax savings in three important ways:

  • You can deduct the money you contribute on your tax return, which reduces your taxable income.
  • You don’t pay taxes on the interest you may earn on your investments.
  • You don’t pay taxes on the money you withdraw to pay for eligible expenses.

HOW DO I SET UP MY PREFERENCES FOR AUTOMATIC CLAIM SUBMISSIONS AND PAYMENTS TO PROVIDERS?

You will need to customize your HSA if you want medical expenses not paid by your health plan to be automatically processed for payment from your account—either to you or your provider. From the member website, select the Spending tab. Choose the Spending Account Settings link. Click on the Edit Auto-Pay Preferences button to elect Autopay and/or Allow Pay to Provider. You may update these choices as your preferences change.

ARE THERE RULES ABOUT MY HSA FOR FUTURE YEARS?

If you're 55 or older:
You can contribute an extra amount each year; this is called a "catch-up" deposit. That amount is currently $1,000 per year; however, you should check Internal Revenue Service Publication 969 for the most current information.

If you're 65 or older:
You can no longer contribute to your HSA after age 65. You can use your HSA as usual to pay for eligible health care expenses or supplementary health insurance; it's still tax-free. Or you can use the account for extra retirement income once you reach age 65 (note that these distributions would be taxable). The IRS website, irs.gov, has additional details on any taxes on the amount you withdraw.

If, at any age, you enroll in Medicare:
You are no longer able to contribute to an HSA, but you may continue to access your HSA balance for tax-free payment of qualified medical expenses. The funds in your HSA are yours to keep if you leave your job, your health plan or even when you retire.

SUBMITTING AND PAYING CLAIMS

CAN I PAY DENTAL OR VISION PROVIDERS DIRECTLY FROM MY HSA?
Yes. You may use your debit card to pay these providers.

IS THERE A MINIMUM AMOUNT FOR PAYMENTS TO ME?
Your pay back to yourself must be more than $25 to get a paper check mailed to your home. There is no minimum amount for a payment to your bank by direct deposit.  You can also use your HSA debit card to pay for expenses of any amount.

CAN I GET PAID BACK FROM MY HSA THROUGH DIRECT DEPOSIT?
Yes. You can sign up for direct deposit by logging into your member website. Select the Spending tab and access the Edit Direct Deposit option from the Spending Account Settings link. Enter your bank routing information and save the information. It will be kept on file securely until you make a change.

WILL I GET A STATEMENT IF THE CLAIM WAS PAID DIRECTLY TO THE PROVIDER?
You can view a Plan Activity Statement for each claim on the Claims tab on your member website. This statement combines all your claims and spending transactions in one document. You can also choose to receive your Plan Activity Statements via email. You may view your account, including payment details, at any time on the member website.

CAN I PRINT A STATEMENT OF MY ACCOUNT ACTIVITY?
Yes. Your transaction information is available in a print-friendly format on the Spending tab on the member website. Monthly Cash Account Statements and Quarterly Investment Statements are posted to your account automatically. 

USING DEBIT CARDS

DO I NEED TO KEEP MY RECEIPTS FOR PURCHASES MADE WITH MY DEBIT CARD?
Yes. Save receipts for expenses that you paid through your HSA. You may need them to confirm that they were qualifying purchases. You can organize and store your receipts on the member website by going to the Spending tab, then the Receipts link.

IS THERE A FEE FOR REPORTING LOST OR STOLEN DEBIT CARDS?
No. You can reorder lost or stolen cards on your member website. You’ll receive replacement debit cards for all cards issued to your account at no charge.

CAN I USE MY DEBIT CARD OUTSIDE OF THE UNITED STATES?
Yes. You can use your debit card internationally if the merchant is set up with valid Merchant Category Codes.

ABOUT LIMITED PURPOSE FSAs

CAN I OPEN A HEALTH CARE FLEXIBLE SPENDING ACCOUNT (FSA) IF I OPEN AN HSA?
No. If you’re covered by a QHDHP, the IRS does not allow you to open both an HSA and a health care FSA. You may open and use a Limited Purpose Health Care FSA and still open and contribute to an HSA.

WHY WOULD I OPEN A LIMITED PURPOSE FSA WHEN I ALREADY HAVE AN HSA?
A Limited Purpose FSA can be useful for people who don’t want to use the funds in their HSA to pay for expected permissible expenses. Money that you contribute to an HSA will roll over from year to year, while Limited Purpose FSA contributions may not roll over. They are subject to the same use-it-or-lose-it rules as a health care FSA. There are three different rules, and your employer will decide which rule applies to your company’s plan:

  • Under the original use-it-or-lose-it rule, you will lose—or forfeit—any funds you have not used by the end of the plan year.
  • Your employer has the option to carry over up to $500 of unused Limited Purpose FSA funds into the new plan year.
  • Or your employer may offer up to 2½ months in the new plan year to incur and submit claims against your remaining account balance.

However, with any of these options, your plan may also offer additional time after the plan year is over to submit your final claims for the year. To find out the specific rule that applies to your company’s plan, check your open enrollment or other benefit materials, or your Summary Plan Description.

HOW DO I SUBMIT CLAIMS TO MY LIMITED PURPOSE FSA?

You can enter expenses on your member website. Your company may also provide a debit card, which you can use to pay claims.

Shares of mutual funds are not deposits or obligations or guaranteed or endorsed by any bank; nor are they federally insured or otherwise supported by the FDIC or any governmental agency, and may lose value.

 

 

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GENERAL HSA INFO

Quick Start Guide

Eligible Health Care Expense List

     

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