Page 8 - 2016 Enrollment
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Health Savings Account
Health Savings Accounts (HSAs) are The IRS has set the following annual limits on the amounts that may
tax advantaged bank accounts. The be contributed to HSAs on a tax-free basis:
contributions you make to HSAs Calendar year 2016: $3,350 if enrolled in employee only coverage,
are not subject to federal income, $6,750 if covering one or more dependents
social security, Medicare, and most
state income tax. The earnings on Catch-up contribution: $1,000 for persons age 55 and older
the account are tax free. In addition, Fontbonne will contribute $250 into an HSA for each employee who
withdrawals can be made from HSAs newly elects the HSA plan. Fontbonne’s contribution will count toward
on a tax-free basis as long as they are the IRS annual maximum contributions. Contributions cannot be made
used for qualiied health expenses. until the account is established.
Employees who sign up for the High Deductible (Base) Plan will also
have an HSA opened simultaneously.
To be eligible for an HSA,
the following must be true: Qualiied health expenses that may be reimbursed from an HSA on
1. You must have coverage under a a tax-free basis are listed in IRS publication 502 and include out-
qualiied plan such as Fontbonne’s of-pocket medical, dental, and vision expenses for you and your
HSA plan. dependents.
2. You cannot have coverage under a
non-qualiied plan. For example, you Here is How the Plan Works
cannot open and contribute money to 1. First you put money in your HSA. The most you can contribute to
an HSA if you are contributing money your HSA tax-free in 2016 is: $3,350 (individual coverage) $6,750
to the health Flexible Spending
Account (FSA). If you have money (family coverage).
in the health FSA on December 31, 2. Money left in your account grows tax-free. The money rolls from
2015 (including any rollover funds), plan year to plan year.
you cannot contribute to an HSA until
the following plan year on January 1, 3. You can use your HSA to pay your deductible, coinsurance, or
2017. prescription drug copays.
3. You cannot be enrolled in Medicare or
Medicaid.
4. You cannot be claimed as a
dependent on another person’s tax
return.
5. You cannot have received VA Medical
beneits within the last three months.
Fontbonne University
Health Savings Account
Health Savings Accounts (HSAs) are The IRS has set the following annual limits on the amounts that may
tax advantaged bank accounts. The be contributed to HSAs on a tax-free basis:
contributions you make to HSAs Calendar year 2016: $3,350 if enrolled in employee only coverage,
are not subject to federal income, $6,750 if covering one or more dependents
social security, Medicare, and most
state income tax. The earnings on Catch-up contribution: $1,000 for persons age 55 and older
the account are tax free. In addition, Fontbonne will contribute $250 into an HSA for each employee who
withdrawals can be made from HSAs newly elects the HSA plan. Fontbonne’s contribution will count toward
on a tax-free basis as long as they are the IRS annual maximum contributions. Contributions cannot be made
used for qualiied health expenses. until the account is established.
Employees who sign up for the High Deductible (Base) Plan will also
have an HSA opened simultaneously.
To be eligible for an HSA,
the following must be true: Qualiied health expenses that may be reimbursed from an HSA on
1. You must have coverage under a a tax-free basis are listed in IRS publication 502 and include out-
qualiied plan such as Fontbonne’s of-pocket medical, dental, and vision expenses for you and your
HSA plan. dependents.
2. You cannot have coverage under a
non-qualiied plan. For example, you Here is How the Plan Works
cannot open and contribute money to 1. First you put money in your HSA. The most you can contribute to
an HSA if you are contributing money your HSA tax-free in 2016 is: $3,350 (individual coverage) $6,750
to the health Flexible Spending
Account (FSA). If you have money (family coverage).
in the health FSA on December 31, 2. Money left in your account grows tax-free. The money rolls from
2015 (including any rollover funds), plan year to plan year.
you cannot contribute to an HSA until
the following plan year on January 1, 3. You can use your HSA to pay your deductible, coinsurance, or
2017. prescription drug copays.
3. You cannot be enrolled in Medicare or
Medicaid.
4. You cannot be claimed as a
dependent on another person’s tax
return.
5. You cannot have received VA Medical
beneits within the last three months.
Fontbonne University
