Page 10 - Ideal Option 2020 New Hire Guide
P. 10
The chart below outlines some of the speciics regarding an HSA.
Choice Fund
Health Savings Account
What can I use the money for? IRS qualiied medical expenses* incurred by you, your spouse and
dependents (even if the dependents are not enrolled in the HSA Plan)
Can I roll over unused dollars from year to year? Yes; unused money will remain in your HSA for future use
How are expenses paid? You decide whether or not to use your HSA debit card to pay for medical
claims subject to the deductible and coinsurance expenses with the funds
in your HSA; you pay for expenses until you reach the annual out-of-
pocket maximum
How do I access my account? By using your HSA debit card and online banking as provided to you when
you opened your account
Does the money earn interest? Yes
Can I take the unused balance with me? Yes; If you leave Ideal Option, you take your HSA funds with you
Can I contribute to a Healthcare Flexible Spending No; participants in the HSA Plan cannot contribute to a healthcare FSA; nor
Account (FSA)? may their spouse through their employer
Must I report my HSA on my federal income Yes
tax form?
May I use HSA funds expenses incurred prior to No; you may only reimburse eligible expenses incurred after you open
opening my HSA? your HSA
How the HSA Works
When You Have a Healthcare Expense Once Your Deductible is Met
You decide whether or not to use the funds from your You are responsible for paying the remaining deductible
HSA or pay out-of-pocket. There are no copays. You are and coinsurance up to the out-of-pocket maximum limits.
responsible for paying for all non-preventive medical Once met, the plan pays 100 percent of your eligible
services and non-preventive prescriptions until you meet medical expenses. You may contribute funds to your HSA to
your annual deductible. calendar year limits.
There is no “use it or lose it” rule. Want to pay for your eligible medical expenses tax-free?
Any unused money will remain in
your HSA for future use. If you leave Make pre-tax contributions to your HSA through payroll deduction. The IRS
Ideal Option, you take your HSA contribution limits for 2020 are $3,550 for individuals and $7,100 for families.
funds with you. Individuals age 55 and older may contribute an additional $1,000 to their HSA.
These funds can be withdrawn at any time to pay for qualiied medical expenses
tax-free. Refer to IRS Publication 502 for a complete list of eligible expenses at
www.irs.gov/pub/irs-pdf/p502.pdf.
10
Choice Fund
Health Savings Account
What can I use the money for? IRS qualiied medical expenses* incurred by you, your spouse and
dependents (even if the dependents are not enrolled in the HSA Plan)
Can I roll over unused dollars from year to year? Yes; unused money will remain in your HSA for future use
How are expenses paid? You decide whether or not to use your HSA debit card to pay for medical
claims subject to the deductible and coinsurance expenses with the funds
in your HSA; you pay for expenses until you reach the annual out-of-
pocket maximum
How do I access my account? By using your HSA debit card and online banking as provided to you when
you opened your account
Does the money earn interest? Yes
Can I take the unused balance with me? Yes; If you leave Ideal Option, you take your HSA funds with you
Can I contribute to a Healthcare Flexible Spending No; participants in the HSA Plan cannot contribute to a healthcare FSA; nor
Account (FSA)? may their spouse through their employer
Must I report my HSA on my federal income Yes
tax form?
May I use HSA funds expenses incurred prior to No; you may only reimburse eligible expenses incurred after you open
opening my HSA? your HSA
How the HSA Works
When You Have a Healthcare Expense Once Your Deductible is Met
You decide whether or not to use the funds from your You are responsible for paying the remaining deductible
HSA or pay out-of-pocket. There are no copays. You are and coinsurance up to the out-of-pocket maximum limits.
responsible for paying for all non-preventive medical Once met, the plan pays 100 percent of your eligible
services and non-preventive prescriptions until you meet medical expenses. You may contribute funds to your HSA to
your annual deductible. calendar year limits.
There is no “use it or lose it” rule. Want to pay for your eligible medical expenses tax-free?
Any unused money will remain in
your HSA for future use. If you leave Make pre-tax contributions to your HSA through payroll deduction. The IRS
Ideal Option, you take your HSA contribution limits for 2020 are $3,550 for individuals and $7,100 for families.
funds with you. Individuals age 55 and older may contribute an additional $1,000 to their HSA.
These funds can be withdrawn at any time to pay for qualiied medical expenses
tax-free. Refer to IRS Publication 502 for a complete list of eligible expenses at
www.irs.gov/pub/irs-pdf/p502.pdf.
10
