Health Savings Accounts (HSA)

A Health Savings Account (HSA) is a savings account that lets you set aside money on a pre-tax basis to pay for qualified medical expenses. By using untaxed dollars in a Health Savings Account (HSA) to pay for deductibles, copayments, coinsurance, and other expenses, you may be able to lower your overall healthcare costs.

While you can use the funds in an HSA at any time to pay for qualified medical expenses, you may contribute to an HSA only if you participate in a High Deductible Health Plan (HDHP) sponsored by your employer. An HDHP is generally a health plan that only covers preventive services before the deductible.

While participants cannot participate in a Medical Expense FSA, they CAN participate in a Limited Purpose FSA (LPFSA).

How to use your Health Savings Account

Using your HSA is easy. As your account accumulates value from the routine payroll deduction you elect during open enrollment, you pay for eligible expenses using a debit card linked to your account. Using the FSA mobile app, you can track account balances and activity, upload receipts, etc.

Participants in an HSA Plan are not eligible to open a Flex Spending Reimbursement Account, as the two types of accounts serve similar purposes.

HSA funds roll over from year to year if you don’t spend them.