| A Health Savings Account, or HSA, is a good way | | | | a doctor. |
| to put away money (tax free!) to use for your | | | | - Taxes. It may not sound like much, but you can |
| health expenses. If you have a high-deductible plan | | | | save thousands on taxes over time using an HSA |
| with a health insurance company, you may qualify | | | | and high deductible health insurance plan. The tax |
| for an HSA. | | | | deferment is one of the big bonuses of the plan. |
| It works much like an IRA. You pay money into | | | | Each state has a maximum yearly contribution. |
| the account and it is tax-deferred. The money | | | | This is usually something like $3,000 for individuals |
| can only be used to pay for medical expenses. At | | | | or $5,000 for families. There is no minimum |
| the end of each year, the money in your HSA | | | | contribution. |
| rolls over into the next year, so it's always there | | | | Eligibility |
| for you to use in the future. | | | | First off, you have to have a high deductible plan |
| How Do I Get One? | | | | with your regular health insurance company. It can |
| According to the law, you must have a | | | | be with any kind of health plan, as long as the |
| high-deductible plan with a health insurance | | | | deductibles are considered high. Talk to your |
| company. This is a good deal because high | | | | health insurance company for details on what is |
| deductible plans are cheaper than those with low | | | | considered a "high deductible." |
| deductibles. With a high deductible plan, you will be | | | | This differs from area to area, but in general, |
| paying more out of pocket, and your insurance | | | | over $1,000 for an individual or over $2,000 for |
| company saves money by not having to process | | | | families is considered a high deductible. This is the |
| those claims. | | | | very least; some states require higher deductibles |
| Usually, you would be paying a lot whenever you | | | | for eligibility to join an HSA. |
| go to the doctor or need medical treatment. The | | | | You will have to notify the HSA company about |
| deductible is the part of your medical bills that you | | | | your pre-existing conditions and apply just like you |
| pay, not the insurance company. An HSA gives | | | | do with a regular health plan. If you have a |
| you a tax-free way to pay those deductibles and | | | | pre-existing condition or other health risks, this will |
| save money on your insurance. | | | | delay the processing of your application. They can |
| How You Save Money | | | | also refuse your application. It works in the same |
| With an HSA you save money on... | | | | way as regular health insurance does. |
| - Premiums. High deductible health insurance plans | | | | A high deductible insurance policy from your health |
| have lower premiums, so you will be paying less | | | | insurance company, coupled with a Health Savings |
| per month. | | | | Account, can save youmoney every year on |
| - Out of pocket expenses. As mentioned before, | | | | taxes. And, it's an easy, convenient way to pay |
| an HSA helps take the sting out of those high | | | | for your health care needs. |
| deductibles you will have to pay when you do see | | | | |