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, Qualiied health expenses that may be reimbursed from an HSA on
the following must be true: a tax-free basis are listed in IRS publication 502 and include out-
1. You must have coverage under a of-pocket medical, dental, and vision expenses for you and your
qualiied plan such as Fontbonne’s dependents.
HSA plan.
2. You cannot have coverage under Here is How the Plan Works
a non-qualiied plan. For example, 1. First you put money in your HSA. The most you can contribute to
you cannot open and contribute
money to an HSA if you are currently your HSA tax-free in 2016 is: $3,350 (individual coverage) $6,750
contributing money to the health (family coverage).
Flexible Spending Account (FSA). 2. Money left in your account grows tax-free. The money rolls from
3. You cannot be enrolled in Medicare or plan year to plan year.
Medicaid.
3. You can use your HSA to pay your deductible, coinsurance, or
4. You cannot be claimed as a prescription drug copays.
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, Qualiied health expenses that may be reimbursed from an HSA on
the following must be true: a tax-free basis are listed in IRS publication 502 and include out-
1. You must have coverage under a of-pocket medical, dental, and vision expenses for you and your
qualiied plan such as Fontbonne’s dependents.
HSA plan.
2. You cannot have coverage under Here is How the Plan Works
a non-qualiied plan. For example, 1. First you put money in your HSA. The most you can contribute to
you cannot open and contribute
money to an HSA if you are currently your HSA tax-free in 2016 is: $3,350 (individual coverage) $6,750
contributing money to the health (family coverage).
Flexible Spending Account (FSA). 2. Money left in your account grows tax-free. The money rolls from
3. You cannot be enrolled in Medicare or plan year to plan year.
Medicaid.
3. You can use your HSA to pay your deductible, coinsurance, or
4. You cannot be claimed as a prescription drug copays.
dependent on another person’s tax
return.
5. You cannot have received VA Medical
beneits within the last three months.
Fontbonne University
