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HEALTH SAVINGS ACCOUNT (HSA)

An HSA is a personal savings account that can be used to pay for medical, dental, vision,
prescriptions, and other qualified medical expenses now or later in life. If you contribute on a pre-
tax basis, you will save money by reducing your taxable gross income, spending pre-tax dollars for
medical care, and growing your HSA tax-free.

Medical Plans A and B are High Deductible Health Plans (HDHP) that allow you to enroll in a Health Savings Account
(HSA). The HDHP plan and H.S.A. were designed to be used together to help you save. Because HDHP’s generally
have lower monthly premiums and more out-of-pocket costs, HSAs are intended to help you pay for out-of-pocket
medical expenses. You have the choice and the control over how you use your HSA dollars.

HSA direct deposits become effective the first pay period following the month the employee was hired and/or after the
employees have established an individual HSA bank account.

HSAs Offer Triple Tax Advantages

Money can go in tax-free
Any contributions you make through a pre-tax payroll deduction program may reduce your taxable income. Any money

you contribute on your own is tax-deductible, subject to annual contribution limits.

HSAs Offer Triple Tax Advantages
Money comes out tax-free
You will never be taxed when you use your HSA dollars for qualified medical expenses.
Money can go in tax-free

Any contributions you make through a pre-tax payroll deduction program may reduce your taxable income.
•
Interest and earnings are tax-free
Any money you contribute on your own is tax-deductible, subject to annual contribution limits.
You won’t be taxed on interest and earnings on your account – your money grows tax-free.

Money comes out tax-free
• You will never be taxed when you use your HSA dollars for qualified medical expenses.
WHO CAN OPEN AN HSA?

Interest and earnings are tax-free
You must be enrolled in either Medical Plan A or Plan B. You cannot open an HSA if you are:
You won’t be taxed on interest and earnings on your account – your money grows tax-free. A HSA is a

personal savings account that can be used to pay for medical, dental, vision, prescriptions,
1. Enrolled in Plan D
and other qualified medical expenses now or later in life. If you contribute on a pre-tax basis,
2. Enrolled in Medicare.
you will save money by reducing your taxable gross income, spending pre-tax dollars for
3. Claimed as a dependent on another individuals’ tax return.
medical care, and growing your HSA tax-free.
HOW MUCH MAY I CONTRIBUTE TO MY HSA?

Medical Plans A and B are High Deductible Health Plans (HDHP) that allow you to enroll in a Health Savings Account
Contributions to HSAs are limited by the amount established by the IRS guidelines and typically change each calendar
(HSA). The HDHP plan and H.S.A. were designed to be used together to help you save. Because HDHP’s generally
year. These amounts include what the company is contributing:
have lower monthly premiums and more out-of-pocket costs, HSAs are intended to help you pay for out-of-pocket
medical expenses. You have the choice and the control over how you use your HSA dollars.
2023 HSA Maximum Annual Contributions*
Employee Only $3,850
HSA direct deposits become effective the first pay period following the month the employee was hired and/or after the
Employee + One or More
employees have established an individual HSA bank account. $7,750
Age 55 Catch-Up * Additional $1,000

*For individuals aged 55 and over, or who will become age 55 at any time in 2023, you have the option to contribute an
additional $1,000 under the catch-up provision established by the IRS.
The above is a summary of this benefit option.

Click here for more detailed information on this available benefit option.

2023 Rangers Baseball LLC (the Texas Rangers) Benefit Guide Page 10

A HSA is a personal savings account that can be used to pay for medical, dental, vision,
prescriptions, and other qualified medical expenses now or later in life. If you contribute on