Page 8 - Tacony 2021 Annual Benefits
P. 8
Health Savings Account
An HSA is an individually owned, tax-favored savings HSA Eligibility
account which works in conjunction with your health Because there are so many tax advantages with the
plan coverage. If you enroll in the High Deductible HSA, there are a few eligibility requirements you must
Health Plan and meet all eligibility requirements set by meet to open and contribute to an HSA. To contribute
the IRS, you may contribute to an HSA. to an HSA, you must meet the following criteria.
An HSA is similar to a checking account; you must You must be enrolled in a qualiied HDHP/HSA
have money in the account to use it. If you do not such as our HDHP/HSA
have funds in your HSA and must pay out-of-pocket You must not be covered by any other health plan
with cash or another bank account, you can reimburse which is not a qualiied HDHP/HSA
yourself from the HSA when the funds are available.
You must not be covered by a traditional healthcare
HSA Major Benefits FSA for the tax year in which you will claim your
HSA deposits as tax deductions; you may be
Funds always belong to you (even if you leave/ enrolled in a limited healthcare FSA
retire)
Funds always rollover to use the following year You must not be eligible to be claimed as a
dependent on someone else’s tax return
Your pre-tax contribution lowers your taxable You must not be enrolled in Medicare, Medicaid, or
income TRICARE for life
HSA Triple Tax Savings You must not have received Veterans
Tax deductions when you contribute to your Administration beneits within the past 3 months
account (exception for service related disabilities)
Tax-free earnings through optional investment
opportunities
Tax-free withdrawals for qualiied medical expenses
Employer Contribution to HSA
If you elect the HDHP/HSA Plan, Tacony will contribute “seed
money” into your health savings account. Tacony will provide
$500 in seed money for employees electing single coverage
or $1,000 for employees enrolling with dependents. For new
hires, seed money will be pro-rated based on date of hire.
This amount will be reviewed on an annual basis and may
be adjusted or removed in future years.
8 2021 Benefits Enrollment
An HSA is an individually owned, tax-favored savings HSA Eligibility
account which works in conjunction with your health Because there are so many tax advantages with the
plan coverage. If you enroll in the High Deductible HSA, there are a few eligibility requirements you must
Health Plan and meet all eligibility requirements set by meet to open and contribute to an HSA. To contribute
the IRS, you may contribute to an HSA. to an HSA, you must meet the following criteria.
An HSA is similar to a checking account; you must You must be enrolled in a qualiied HDHP/HSA
have money in the account to use it. If you do not such as our HDHP/HSA
have funds in your HSA and must pay out-of-pocket You must not be covered by any other health plan
with cash or another bank account, you can reimburse which is not a qualiied HDHP/HSA
yourself from the HSA when the funds are available.
You must not be covered by a traditional healthcare
HSA Major Benefits FSA for the tax year in which you will claim your
HSA deposits as tax deductions; you may be
Funds always belong to you (even if you leave/ enrolled in a limited healthcare FSA
retire)
Funds always rollover to use the following year You must not be eligible to be claimed as a
dependent on someone else’s tax return
Your pre-tax contribution lowers your taxable You must not be enrolled in Medicare, Medicaid, or
income TRICARE for life
HSA Triple Tax Savings You must not have received Veterans
Tax deductions when you contribute to your Administration beneits within the past 3 months
account (exception for service related disabilities)
Tax-free earnings through optional investment
opportunities
Tax-free withdrawals for qualiied medical expenses
Employer Contribution to HSA
If you elect the HDHP/HSA Plan, Tacony will contribute “seed
money” into your health savings account. Tacony will provide
$500 in seed money for employees electing single coverage
or $1,000 for employees enrolling with dependents. For new
hires, seed money will be pro-rated based on date of hire.
This amount will be reviewed on an annual basis and may
be adjusted or removed in future years.
8 2021 Benefits Enrollment
