What is a Health Savings Account?

• A Health Savings Account (HSA) is a tax-exempt trust or custodial account established exclusively for the purpose of paying or reimbursing qualified medical expenses of you, your spouse, and your dependents.

Am I Eligible for an HSA?

• You are eligible to make or receive an HSA regular contribution if, with respect to any month, you:

  • Are covered under a high-deductible health plan (HDHP).

  • Are not also covered by any other health plan that is not an HDHP (with certain exceptions for plans providing preventive care and limited types of permitted insurance and permitted coverage).

  • Are not enrolled in Medicare.

  • Cannot be claimed as a dependent on another person's tax return.

Who Can Contribute to My HSA?

• If you meet the eligibility requirements for an HSA, you, your employer, your family members, and any other person (including nonindividuals) may contribute to your HSA. This is true whether you are self-employed or unemployed.

What are the Federal Tax Benefits of an HSA?

• Contributions to an HSA are fully deductible, the earnings grow tax deferred, and distributions for qualified medical expenses are tax free. Consult with your tax or legal professional for guidance.

Contact Bank Personnel for additional requirements, fees, restrictions, or rates at 406-765-2800 or 800-368-2808.