Page 8 - 2015 Enrollment Guide
P. 8
Beneits Guide
Health Savings Account Health Savings Account An HSA is like a checking account; you must have money in the
account in order to use it. As long as you have funds in the account you
An HSA is a personal bank account
can pay for qualiied services with your HSA card just like you pay for
you can use to pay for your family’s
groceries with your debit card. If you do not have funds in your HSA
healthcare costs. If you enroll in the
and must pay out-of-pocket with cash or another bank account you can
HSA medical plan, you may set up an
reimburse yourself from the HSA at a later date when the funds are
HSA account and elect to contribute
available.
funds from your paycheck tax free.
AAF will send your contributions
directly to Mellon Bank to be
2015 contribution limits are:
deposited into your account. This The IRS mandates maximum contribution limits to HSAs annually. The
means you will pay less tax on the X $3,350 for an individual
money you take home while also X $6,650 for a family
paying for healthcare expenses tax X If you are age 55 or older you are eligible for an additional catch-up
free through your HSA. contribution of $1,000 annually
Unlike a traditional FSA, there is no Please read the HSA Plan Summary for details on eligibly, rules, and
“use it or lose it” penalty with HSAs; requirements for participating and contributing to an HSA.
at the end of the year your remaining
balance will roll over into the next HSAs and FSAs
plan year. Your HSA is also portable;
if you change jobs or health plans, There are special rules for participating in both an HSA and Flexible
the money goes with you. You own Spending Account (FSA). You can participate in both an HSA and FSA
the account and the funds within only if the FSA has been deined as a limited purpose FSA, i.e., limited
it just like any other bank account. for reimbursement of dental and/or vision services. Once you have
Examples of qualiied healthcare met your deductible in the high deductible health plan, you can then
expenses include medical deductibles, use the FSA for coinsurance.
copays and coinsurance, most dental
and vision expenses, COBRA and
Medicare premiums, and over-the-
counter medications with a written
prescription.
8
Health Savings Account Health Savings Account An HSA is like a checking account; you must have money in the
account in order to use it. As long as you have funds in the account you
An HSA is a personal bank account
can pay for qualiied services with your HSA card just like you pay for
you can use to pay for your family’s
groceries with your debit card. If you do not have funds in your HSA
healthcare costs. If you enroll in the
and must pay out-of-pocket with cash or another bank account you can
HSA medical plan, you may set up an
reimburse yourself from the HSA at a later date when the funds are
HSA account and elect to contribute
available.
funds from your paycheck tax free.
AAF will send your contributions
directly to Mellon Bank to be
2015 contribution limits are:
deposited into your account. This The IRS mandates maximum contribution limits to HSAs annually. The
means you will pay less tax on the X $3,350 for an individual
money you take home while also X $6,650 for a family
paying for healthcare expenses tax X If you are age 55 or older you are eligible for an additional catch-up
free through your HSA. contribution of $1,000 annually
Unlike a traditional FSA, there is no Please read the HSA Plan Summary for details on eligibly, rules, and
“use it or lose it” penalty with HSAs; requirements for participating and contributing to an HSA.
at the end of the year your remaining
balance will roll over into the next HSAs and FSAs
plan year. Your HSA is also portable;
if you change jobs or health plans, There are special rules for participating in both an HSA and Flexible
the money goes with you. You own Spending Account (FSA). You can participate in both an HSA and FSA
the account and the funds within only if the FSA has been deined as a limited purpose FSA, i.e., limited
it just like any other bank account. for reimbursement of dental and/or vision services. Once you have
Examples of qualiied healthcare met your deductible in the high deductible health plan, you can then
expenses include medical deductibles, use the FSA for coinsurance.
copays and coinsurance, most dental
and vision expenses, COBRA and
Medicare premiums, and over-the-
counter medications with a written
prescription.
8
