Page 5 - FINAL Crane Country Day School 2017-18 Benefits Guide

Medical Plans 5

How the Health Savings Account Works

The opportunity to establish and contribute to a Health Savings Account is available when you elect the HSA
Medical option. It’s a personal, tax-free savings account for health care expenses that earns interest and any
unused money rolls over from year to year.
Here’s an overview of how it works:

 You enroll in the HSA plan for Medical coverage and establish your HSA with Community West Bank or Herit-
age Oaks Bank during open enrollment or any time during the year. You will receive a Welcome Packet at
your home address with detailed instructions on how to administer your HSA.
 You may elect to make contributions into your account up to IRS maximums. In 2018, you may defer up to
$3,450 for employee coverage and up to $6,900 for family coverage. If you are age 55 or older, you are also
permitted an additional catch-up contribution of $1,000 for 2018. Any contributions received from your em-
ployer will count towards your annual IRS maximum contribution. The portion of your paycheck that you con-
tribute to your HSA will be taken out before you pay federal income taxes, Social Security taxes and most
state taxes (excluding state taxes in AL, CA and NJ). Any contributions you make can be increased or de-
creased over the course of the year.
 You can decide how to manage your money. The money in your HSA is yours to save and spend on eligible
health care expenses whenever you need it, whether in 2018 or during a later year. You can use the funds in
your account to pay tax-free for qualifying out-of-pocket Medical, Dental and Vision expenses such as deducti-
bles, coinsurance and copays. Your account balance earns interest and the unused balance rolls-over from
year to year. The money is yours to keep even if you leave Crane Country Day School, no longer participate in
a high deductible health plan (like the HSA Medical plan), or retire. You may continue to make contributions
to your HSA if you enroll in another qualified high deductible health plan, or elect COBRA continuation cover-
age of your HSA coverage if your employment terminates.

Keep in mind, you can change your HSA contribution amount at any time during the year; however, you must
establish your HSA through Community West Bank or Heritage Oaks Bank during the 30-day enrollment win-
dow following your hire date to be eligible to receive the company contribution. Also, in order for an expense
to be paid through your HSA account, it must be opened and funded with at least one cent on the date when
the claim occurred.

Summary of Benefits and Coverage (SBC)
Health insurance issuers and group health plans are required to provide you with an easy-to-understand sum-
mary about your health plan’s benefits and coverage, referred to as a Summary of Benefits and Coverage
(SBC). This guide is designed to help you understand the medical plan options offered to you by Crane Country
Day School. Please refer to the SBC and carrier contracts provided by Anthem for additional plan details.