Health Savings Account (HSA)
HEALTH SAVINGS ACCOUNT (HSA)
A Health Savings Account (HSA) can help pay for health care expenses not paid by your medical plan now and in the future. The money saved in your HSA earns interest, can be invested once you reach a minimum threshold, rolls over from year to year if you don’t spend it and receives tax advantages. HSA contributions and earnings are not subject to federal taxes and not subject to state taxes in most states. Save tax-free dollars with an HSA!
When you enroll in the Aetna High Deductible plan, you can open a health savings bank account through PayFlex.
You can use HSA funds to pay qualified health care expenses for yourself, your spouse or dependents you can claim on your Federal income tax.
Be sure to talk to your tax advisor to understand IRS guidelines and limits for HSA contributions.
HSA contribution limits are determined on a calendar/tax-year basis. IRS rules state that contribution limits must generally be prorated by the number of months you are eligible to contribute to an HSA. Your eligibility is based on your coverage status on the first day of the month.