Page 15 - AESC 2019 Benefits Gudie
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The chart below outlines some of the speciics regarding an HSA.
Health Savings Account
What can I use the money for? IRS qualified medical expenses incurred by you, your spouse
and dependents (even if your dependents are not enrolled in the
Savings (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 . Keep your receipts
in the event of IRS tax audit .
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 Envision AESC, you take your HSA funds with you
Can I contribute to a Healthcare Flexible No; participants in the HSA plan can only have a Limited Health
Spending Account (FSA)? FSA
Must I report my HSA on my federal income tax Yes
form?
May I use HSA funds for expenses incurred prior No; you may only reimburse eligible expenses incurred after you
to opening my HSA? open your HSA
Can I use HSA funds which have not yet been No; as with your bank debit card, you can only spend funds which
deposited to my HSA? have been deposited to your HSA account
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 HSA or pay out of pocket . There are You are responsible for paying a certain percentage of the
no copays . You are responsible for paying for remaining charges (called coinsurance) up to the out-of-
all non-preventive medical services and non- pocket maximum limits . Once met, the plan pays 100%
preventive prescriptions until you meet your of your eligible medical expenses . You may contribute
annual deductible . additional funds to your HSA to calendar year limits .
There is no “use it or Want to pay for your eligible medical expenses tax-free?
lose it” rule . Any unused Make pre-tax contributions to your HSA through payroll deduction . The IRS
money will remain in your contribution limits for 2019 are $3,500 for individuals and $7,000 for families .
HSA for future use . If you Individuals age 55 and older may contribute an additional $1,000 to their HSA .
leave Envision AESC, you These funds can be withdrawn at any time to pay for qualified medical expenses
take your HSA funds with tax-free . Refer to IRS Publication 502 for a complete list of eligible expenses at
you .
www.irs.gov/pub/irs-pdf/p502.pdf.
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Health Savings Account
What can I use the money for? IRS qualified medical expenses incurred by you, your spouse
and dependents (even if your dependents are not enrolled in the
Savings (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 . Keep your receipts
in the event of IRS tax audit .
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 Envision AESC, you take your HSA funds with you
Can I contribute to a Healthcare Flexible No; participants in the HSA plan can only have a Limited Health
Spending Account (FSA)? FSA
Must I report my HSA on my federal income tax Yes
form?
May I use HSA funds for expenses incurred prior No; you may only reimburse eligible expenses incurred after you
to opening my HSA? open your HSA
Can I use HSA funds which have not yet been No; as with your bank debit card, you can only spend funds which
deposited to my HSA? have been deposited to your HSA account
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 HSA or pay out of pocket . There are You are responsible for paying a certain percentage of the
no copays . You are responsible for paying for remaining charges (called coinsurance) up to the out-of-
all non-preventive medical services and non- pocket maximum limits . Once met, the plan pays 100%
preventive prescriptions until you meet your of your eligible medical expenses . You may contribute
annual deductible . additional funds to your HSA to calendar year limits .
There is no “use it or Want to pay for your eligible medical expenses tax-free?
lose it” rule . Any unused Make pre-tax contributions to your HSA through payroll deduction . The IRS
money will remain in your contribution limits for 2019 are $3,500 for individuals and $7,000 for families .
HSA for future use . If you Individuals age 55 and older may contribute an additional $1,000 to their HSA .
leave Envision AESC, you These funds can be withdrawn at any time to pay for qualified medical expenses
take your HSA funds with tax-free . Refer to IRS Publication 502 for a complete list of eligible expenses at
you .
www.irs.gov/pub/irs-pdf/p502.pdf.
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