Health Savings Accounts (HSA)
Discover a new health insurance option! Combine a tax-favored Health Savings Account (HSA) and an HSA-compatible health insurance plan to save money tax-free for healthcare costs!
HSA-compatible health insurance plans are often less expensive than other health insurance plans. Fund your Health Savings Account with pre-tax dollars, and reduce your taxable income.
A Health Savings Account (HSA) is a tax-favored savings account that is used in conjunction with an HSA-compatible high-deductible health insurance plan to make healthcare more affordable and to save for retirement.
HSAs are similar to IRAs, but even better:
- Pre-tax money is deposited each year into an HSA and can be easily withdrawn at any time with no penalty or taxes to pay for qualified medical expenses. Withdrawals can also be made for non-medical purposes, but will be taxed as normal income and are subject to a 10 percent penalty if done prior to age 65.
- Any HSA funds not used each year remain in the account, and earn interest tax-free to supplement medical expenses at any time in the future.
- Like an IRA, the account belongs to the employee, not the employer. But unlike an IRA, an employer CAN contribute to an HSA.
NOTE: All applications go through an underwriting process. Most health insurance companies will reach a decision within 1 to 2 weeks. Individual and family health plans are not guaranteed approval. For guaranteed approval health insurance consider Small Business Group Health Insurance.