Page 11 - 2015 Enrollment Guide
P. 11
AIP Aerospace Holdings, LLC
How the HSA Works
X You receive a company funded contribution to your HSA
Z On July 1, 2015—$250 for individuals; $500 for enrolled
families
Z On January 1, 2015 (and annually on each January 1)—$500 for
individuals; $1,000 for enrolled families
X You also elect to contribute your own pre-tax contributions to your
HSA from your paycheck (up to annual IRS mandated limits)
X You save HSA funds or use HSA funds during the plan year to pay
for eligible expenses tax free; your unused funds always roll over to
use in the next plan year
Health Savings Accounts (HSAs)
Planning for the Future
What Will Happen to My Money When I Turn 65?
You can continue to use your account tax-free for out-of-pocket health
expenses. You can use your account to pay for Medicare premiums
and any contribution toward your deductible, copays, and coinsurance
in your medical plan design. The one expense you cannot use your
account for is purchasing a supplemental insurance policy.
Once you turn age 65, you can also use your account to pay for things
other than medical expenses. If used for other expenses, the amount
withdrawn will be taxable as income but will not be subject to any
other penalties. Individuals under age 65 who use their accounts for
non-medical expenses must pay income tax and a 20 percent penalty on
the amount withdrawn.
Use Your HSA to Pay For*:
X Deductible expenses X Prescription drugs
X Out-of-pocket maximum X Over the counter drugs with a
expenses written prescription
X Dental care X Hearing aids
X Vision care
* Find more examples at www.irs.gov in IRC Sec.213(d). Members will pay a penalty and
tax on all ineligible HSA expenses. You are responsible for spending your HSA dollars
appropriately
11
How the HSA Works
X You receive a company funded contribution to your HSA
Z On July 1, 2015—$250 for individuals; $500 for enrolled
families
Z On January 1, 2015 (and annually on each January 1)—$500 for
individuals; $1,000 for enrolled families
X You also elect to contribute your own pre-tax contributions to your
HSA from your paycheck (up to annual IRS mandated limits)
X You save HSA funds or use HSA funds during the plan year to pay
for eligible expenses tax free; your unused funds always roll over to
use in the next plan year
Health Savings Accounts (HSAs)
Planning for the Future
What Will Happen to My Money When I Turn 65?
You can continue to use your account tax-free for out-of-pocket health
expenses. You can use your account to pay for Medicare premiums
and any contribution toward your deductible, copays, and coinsurance
in your medical plan design. The one expense you cannot use your
account for is purchasing a supplemental insurance policy.
Once you turn age 65, you can also use your account to pay for things
other than medical expenses. If used for other expenses, the amount
withdrawn will be taxable as income but will not be subject to any
other penalties. Individuals under age 65 who use their accounts for
non-medical expenses must pay income tax and a 20 percent penalty on
the amount withdrawn.
Use Your HSA to Pay For*:
X Deductible expenses X Prescription drugs
X Out-of-pocket maximum X Over the counter drugs with a
expenses written prescription
X Dental care X Hearing aids
X Vision care
* Find more examples at www.irs.gov in IRC Sec.213(d). Members will pay a penalty and
tax on all ineligible HSA expenses. You are responsible for spending your HSA dollars
appropriately
11
