What is an HSA?
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Anyone with an HSA qualified health insurance plan can open a Health Savings Account (HSA). Health Savings Accounts are 100% tax deductible accounts you can use to set aside TAX-FREE money each year for qualified health care costs.
HSA qualified health insurance plans often have very affordable premiums and the money you save on premiums can be used to help fund the Health Savings Account (HSA) Families can often save thousands of dollars in annual reduced premiums by switching to an HSA qualified health plan. |
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Reduce Premiums & Build Savings with a Health Savings Account (HSA)
- Use premium savings to fund your HSA.
- Build personal savings tax-free with your HSA.
- HSA funds can be used for qualified medical expenses
- You keep the unspent HSA money which grows from year to year.
- HSA funds can be used for anything after age 65
Contributions to HSAs are made on a 100% tax-deductible basis, meaning they are an above the line deduction which reduces your gross taxable income.
Yearly HSA Contribution Limits
Tax Year |
HSA Coverage |
Contribution Limit |
Catch Up Contribution (Age 55 and Older) |
2024 |
Self Only Family |
$4150 $8300 |
$1000 |
2025 |
Self Only Family |
$4300 $8550 |
$1000 |
n you spend money from your HSA, that’s tax-free too, as long as the funds are used to pay for HSA qualified medical expenses, including going to the doctor, prescription drugs, paying other expenses toward your deductible, as well as qualified dental and vision care.
Because any money you don’t spend rolls over from one year to the next, HSA’s offer a long-term savings advantage. If you’re relatively healthy during your working years, by the time you retire you could build a sizable tax advantaged nest egg.
Health Savings Account Qualified Health Plans
Before you can establish a Health Savings Account (HSA) and make tax-advantaged HSA contributions, you must be enrolled in an HSA qualified high deductible health plan.
However, not all high deductible health plans meet the US Treasury Department’s guidelines to be considered HSA qualified. Here are a few of the requirements:
Reduced Monthly Premiums & Protection from Financial Hardship
HSA qualified health insurance plans often have higher deductibles than traditional plans, but typically have reduced out of pocket maximums. These plans typically have more affordable premiums than lower deductible plans and the money you save on premiums can help pay for everyday needs. If the unexpected does happen, you’re protected from financial hardship – that’s what health insurance is for.
First Dollar Benefits
Affordable Care Act (ACA) compliant HSA qualified health plans give you first dollar coverage at no cost for federally mandated preventative care for adults and children, so long as they’re done in-network and coded as preventative care. These include things like routine adult physicals, well child exams, immunizations, mammogram, PSA exams and much more.
How to Find the Best HSA Qualified Health Plan
No one insurance company is the best in all situations. Things like age, zip code, tobacco use and anticipated claims for the policy year will influence which plan will be best for your specific needs.
Health Savings Accounts allow you to set up a 100% tax-deductible HSA account to pay for many types of out of pocket medical expenses. These include many types of qualified expenses that are often not covered by most insurance policies.
Below is a PARTIAL list of Qualified Expenses for HSA’s:
Because any money you don’t spend rolls over from one year to the next, HSA’s offer a long-term savings advantage. If you’re relatively healthy during your working years, by the time you retire you could build a sizable tax advantaged nest egg.
Health Savings Account Qualified Health Plans
Before you can establish a Health Savings Account (HSA) and make tax-advantaged HSA contributions, you must be enrolled in an HSA qualified high deductible health plan.
However, not all high deductible health plans meet the US Treasury Department’s guidelines to be considered HSA qualified. Here are a few of the requirements:
Reduced Monthly Premiums & Protection from Financial Hardship
HSA qualified health insurance plans often have higher deductibles than traditional plans, but typically have reduced out of pocket maximums. These plans typically have more affordable premiums than lower deductible plans and the money you save on premiums can help pay for everyday needs. If the unexpected does happen, you’re protected from financial hardship – that’s what health insurance is for.
First Dollar Benefits
Affordable Care Act (ACA) compliant HSA qualified health plans give you first dollar coverage at no cost for federally mandated preventative care for adults and children, so long as they’re done in-network and coded as preventative care. These include things like routine adult physicals, well child exams, immunizations, mammogram, PSA exams and much more.
How to Find the Best HSA Qualified Health Plan
No one insurance company is the best in all situations. Things like age, zip code, tobacco use and anticipated claims for the policy year will influence which plan will be best for your specific needs.
Health Savings Accounts allow you to set up a 100% tax-deductible HSA account to pay for many types of out of pocket medical expenses. These include many types of qualified expenses that are often not covered by most insurance policies.
Below is a PARTIAL list of Qualified Expenses for HSA’s:
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