Page 18 - ABM 2021 Benefit Guide EDU
P. 18
HEALTH SAVINGS ACCOUNTS
What is a Health Savings Account (HSA)?
When a team member participates in a qualiied CDHP (and is not covered by another non-CDHP
medical plan), team members are eligible to participate in a health savings account (HSA). An HSA
allows team members to pay for qualiied medical expenses of a CDHP with pre-tax dollars, thus
reducing taxable income. Team members can make contributions to the account up to the allowed
maximum contribution limits. These funds can be withdrawn at any time to cover qualiied medical
expenses as deined by the IRS, such as deductibles, medical services, pharmacy charges, or post
retirement medical expenses.
Individually Owned Account HSA Funding and Limits
You own and administer this health savings The 2021 IRS maximum contributions for these
account. You determine how much you will accounts are:
contribute to your account, when to use your
money to pay for eligible medical expenses, $3,600 for team member-only coverage
and when to reimburse yourself. HSAs allow $7,200 for all other tiers
you to save and “roll over” money if you do not Note: You are eligible to contribute up to the IRS annual
spend it in the calendar year. This is a bank maximum, however, you must remain in the plan for at least a
account; you must have money in the account full year or there may be tax consequences.
before you can spend it. The money in this
account is always yours even if you change Catch-Up Contribution
health plans or jobs. Individuals age 55 and older may make an
additional $1,000 annual contribution to their
How Do I Put Money Into My HSA? HSA.
ABM has elected to partner with UHC’s partner
institution, Optum Health Bank, to provide HSA
banking services. You can elect to participate
in the Optum HSA and have payroll deductions
taken on a pre-tax basis and deposited into
your account.
You may also start an HSA at a inancial
institution of your choice. In that case, you
would deposit funds on an after-tax basis and
deduct the amount of your contributions when
you ile your income taxes.
18 2021 Benefits Enrollment
What is a Health Savings Account (HSA)?
When a team member participates in a qualiied CDHP (and is not covered by another non-CDHP
medical plan), team members are eligible to participate in a health savings account (HSA). An HSA
allows team members to pay for qualiied medical expenses of a CDHP with pre-tax dollars, thus
reducing taxable income. Team members can make contributions to the account up to the allowed
maximum contribution limits. These funds can be withdrawn at any time to cover qualiied medical
expenses as deined by the IRS, such as deductibles, medical services, pharmacy charges, or post
retirement medical expenses.
Individually Owned Account HSA Funding and Limits
You own and administer this health savings The 2021 IRS maximum contributions for these
account. You determine how much you will accounts are:
contribute to your account, when to use your
money to pay for eligible medical expenses, $3,600 for team member-only coverage
and when to reimburse yourself. HSAs allow $7,200 for all other tiers
you to save and “roll over” money if you do not Note: You are eligible to contribute up to the IRS annual
spend it in the calendar year. This is a bank maximum, however, you must remain in the plan for at least a
account; you must have money in the account full year or there may be tax consequences.
before you can spend it. The money in this
account is always yours even if you change Catch-Up Contribution
health plans or jobs. Individuals age 55 and older may make an
additional $1,000 annual contribution to their
How Do I Put Money Into My HSA? HSA.
ABM has elected to partner with UHC’s partner
institution, Optum Health Bank, to provide HSA
banking services. You can elect to participate
in the Optum HSA and have payroll deductions
taken on a pre-tax basis and deposited into
your account.
You may also start an HSA at a inancial
institution of your choice. In that case, you
would deposit funds on an after-tax basis and
deduct the amount of your contributions when
you ile your income taxes.
18 2021 Benefits Enrollment
