Page 11 - Fontbonne New Hire
P. 11
Fontbonne University
Health Savings Account To be eligible for an HSA,
Health savings accounts (HSAs) are tax advantaged bank accounts. The the following must be
true.
contributions you make to HSAs are not subject to federal income, 1. You must have coverage under a
social security, Medicare, and most state income tax. The earnings on the qualiied plan such as Fontbonne’s
account are tax free. In addition, withdrawals can be made from HSAs on HSA plan
a tax-free basis as long as they are used for qualiied health expenses. If 2. You cannot have coverage under
you enroll in the HSA Plan and meet all eligibility requirements set by the a non-qualiied plan; for example,
IRS, you may contribute to an HSA account. you cannot open and contribute
money to an HSA if you are
Note: employees who sign up for the high deductible (base) plan will have an HSA opened contributing money to the health
simultaneously.
lexible spending account (FSA); if
you have money in the health FSA
Contributing to Your HSA on December 31, 2017 (including
When you enroll in the HSA Plan for 2018, you can make pre-tax any rollover funds), you cannot
contribute to an HSA until the
contributions to your HSA through payroll deductions. It’s your choice following plan year on January 1,
to contribute or not. The IRS limits the amount of pre-tax dollars you 2018
can contribute to your HSA each year. For 2018, you can contribute up to 3. You cannot be enrolled in
$3,450 for single coverage and $6,850 for family coverage. If you enroll Medicare or Medicaid
mid-year, you need to prorate your personal contribution limit.
4. You cannot be claimed as a
To pro-rate, take the total annual contribution allowed based on your dependent on another person’s
coverage level, multiply it by the number of months in the year you tax return
qualify, then divide the amount by 12. Your eligibility is based on your 5. You cannot have received VA
coverage status on the irst day of the month. For example, if you Medical beneits within the last
enrolled in the HSA Plan on April 1, your annual contribution limit is as three months
follows.
Single Coverage
$3,450 × 9 ÷ 12 = $2,587.50
Family Coverage
$6,850 × 9 ÷ 12 = $5,137.50
Note: if you are age 55 or older by the end of 2018, you may also contribute an additional
$1,000 as a catch-up contribution for 2018.
11
Health Savings Account To be eligible for an HSA,
Health savings accounts (HSAs) are tax advantaged bank accounts. The the following must be
true.
contributions you make to HSAs are not subject to federal income, 1. You must have coverage under a
social security, Medicare, and most state income tax. The earnings on the qualiied plan such as Fontbonne’s
account are tax free. In addition, withdrawals can be made from HSAs on HSA plan
a tax-free basis as long as they are used for qualiied health expenses. If 2. You cannot have coverage under
you enroll in the HSA Plan and meet all eligibility requirements set by the a non-qualiied plan; for example,
IRS, you may contribute to an HSA account. you cannot open and contribute
money to an HSA if you are
Note: employees who sign up for the high deductible (base) plan will have an HSA opened contributing money to the health
simultaneously.
lexible spending account (FSA); if
you have money in the health FSA
Contributing to Your HSA on December 31, 2017 (including
When you enroll in the HSA Plan for 2018, you can make pre-tax any rollover funds), you cannot
contribute to an HSA until the
contributions to your HSA through payroll deductions. It’s your choice following plan year on January 1,
to contribute or not. The IRS limits the amount of pre-tax dollars you 2018
can contribute to your HSA each year. For 2018, you can contribute up to 3. You cannot be enrolled in
$3,450 for single coverage and $6,850 for family coverage. If you enroll Medicare or Medicaid
mid-year, you need to prorate your personal contribution limit.
4. You cannot be claimed as a
To pro-rate, take the total annual contribution allowed based on your dependent on another person’s
coverage level, multiply it by the number of months in the year you tax return
qualify, then divide the amount by 12. Your eligibility is based on your 5. You cannot have received VA
coverage status on the irst day of the month. For example, if you Medical beneits within the last
enrolled in the HSA Plan on April 1, your annual contribution limit is as three months
follows.
Single Coverage
$3,450 × 9 ÷ 12 = $2,587.50
Family Coverage
$6,850 × 9 ÷ 12 = $5,137.50
Note: if you are age 55 or older by the end of 2018, you may also contribute an additional
$1,000 as a catch-up contribution for 2018.
11
