Page 6 - 2017-18 Centennial Benefits Guide Staff
P. 6
Health Savings Accounts
Health Savings Accounts (HSAs) are tax advantaged banking accounts.
The contributions you make to HSAs are not subject to federal income,
Social Security, Medicare, and most state income tax. The earnings on the
account are tax-free. In addition, withdrawals can be made from HSAs on
a tax-free basis as long as they are used for qualiied health expenses.
In order to contribute to a HSA:
1. You must be enrolled in Centennial’s Qualiied High Deductible
Health Plan (QHDHP).
2. You cannot open and contribute money to a HSA if you are
contributing money to a health Flexible Spending Account (FSA).
3. You cannot be enrolled in Medicare, TRICARE, or TRICARE Life.
4. You must not have received Veterans Administration Beneits within
the past three months.
5. You cannot be claimed as a dependent on another person’s tax return.
The IRS has set the following annual limits on the amounts which may be
contributed to HSAs on a tax-free basis:
Calendar year 2017: $3,400 if enrolled in employee only coverage,
$6,750 if covering one or more dependents
Calendar year 2017: catch-up contributions $1,000 for persons age 55
and older
Calendar year 2018: $3,450 if enrolled in employee only coverage,
$6,900 if covering one or more dependents
Calendar year 2018: catch-up contribution: $1,000 for persons age 55
and older
6 2017–18 Benefits Enrollment
Health Savings Accounts (HSAs) are tax advantaged banking accounts.
The contributions you make to HSAs are not subject to federal income,
Social Security, Medicare, and most state income tax. The earnings on the
account are tax-free. In addition, withdrawals can be made from HSAs on
a tax-free basis as long as they are used for qualiied health expenses.
In order to contribute to a HSA:
1. You must be enrolled in Centennial’s Qualiied High Deductible
Health Plan (QHDHP).
2. You cannot open and contribute money to a HSA if you are
contributing money to a health Flexible Spending Account (FSA).
3. You cannot be enrolled in Medicare, TRICARE, or TRICARE Life.
4. You must not have received Veterans Administration Beneits within
the past three months.
5. You cannot be claimed as a dependent on another person’s tax return.
The IRS has set the following annual limits on the amounts which may be
contributed to HSAs on a tax-free basis:
Calendar year 2017: $3,400 if enrolled in employee only coverage,
$6,750 if covering one or more dependents
Calendar year 2017: catch-up contributions $1,000 for persons age 55
and older
Calendar year 2018: $3,450 if enrolled in employee only coverage,
$6,900 if covering one or more dependents
Calendar year 2018: catch-up contribution: $1,000 for persons age 55
and older
6 2017–18 Benefits Enrollment
