Health Savings Account
What is an HSA?
An HSA is a tax-advantaged personal savings account that can be used to pay for medical, dental, vision and other qualified expenses now or later in life.
Am I eligible to contribute to my HSA?
To contribute to an HSA, you must be enrolled in a qualified HDHP, not covered under a secondary health insurance plan, not enrolled in Medicare, and not another person's dependent.
How much can I contribute to my HSA?
Contributions can be made by the eligible employee, their employer, or any other individual. Annual contributions from all sources may not exceed $4,150 for singles or $8,300 for families in 2024. Individuals aged 55 and over may make an additional $1,000 catch-up contribution.
What is a HDHP?
The IRS defines HSA-eligible plans, also known as qualified high-deductible health plans (HDHPs), as those that have a deductible of at least $1,600 for an individual and $3,200 for a family and have an out-of-pocket maximum that does not exceed $7,500 for individual or $15,000 for family coverage.
Do I have to spend all my contributions by the end of the plan year?
Unlike a flexible spending account (FSA), unused money in your HSA isn't forfeited at the end of the year, it continues to grow, tax-free.
Can I change my contributions to my HSA during the year?
You can change your election amount at any time during the plan year. You're not "locked in" to the amount you selected during your open enrollment period.