Investing in Health

Health Savings Accounts (HSA)

Freedom & Accessability

A Health Savings Account (HSA) is an individually owned, tax-favored account that allows individuals to pay for qualified health care expenses. In order to set up or contribute to an HSA, you must be covered by a Qualified High-Deductible Health Plan (HDHP). Premiums associated with an HSA-qualified plan are usually lower than a traditional plan, allowing employees to capture the savings and fund their account. HSA funds can then be used to pay for any qualified out-of-pocket medical, dental or vision expenses for not only the account holder, but also for their legal spouse and any tax dependents.

HSAs Made Simple

For a healthier today and a financially secure tomorrow.

The primary purpose of your HSA is to help you pay for any eligible out-of-pocket expenses you may incur such as those related to your health insurance deductible. Though your HSA can be used to pay for several items not connected to your health insurance, these are some of the most common expenses incurred by individuals.

However, under a HDHP, all out-of-pocket expenses (i.e., prescriptions, doctor visits, MRI, etc.) processed through your health insurance will apply to your deductible. Once your deductible is met, depending on your health insurance plan, you may be responsible for a percentage of your out-of-pocket expenses (Co-Insurance) up to a set amount called your Out-Of-Pocket maximum. After which your insurance company pays all eligible expenses for the remainder of the year.

The Beauty of HSAs

We help you get the most out of your benefits.

100% of unused funds roll over year-after-year
Tax Savings – Offers triple tax savings on all contributions
Portable – the HSA goes with you even if you switch employers
Can pay for the eligible expenses of your legal spouse and tax dependents regardless of their insurance
Can be used for Medicare premiums as well as qualified long-term care premiums

Health Savings Account Resources

Cost Savings

To determine how much cost savings the HSA may provide you and/or your family, you will need to consider several items.
Your Total Contributions (Remember: Contributions as well as accrued interest to the HSA are tax free.)
Your Total Estimated Expenses (Remember: Distributions on qualified medical expenses from the HSA are tax free.)
The Premium Difference Between Your HSA Plan and Other Plan Options (Remember: Monthly premiums for the HDHP insurance are typically lower than those of a Traditional PPO.)

Your Estimated HSA Cost Savings Example

	Traditional PPO + FSA	HDHP + HSA
Gross Annual Pay	$60,000	$60,000
Maximum Annual Health Care FSA Contribution	$3,050	$7,750
Estimated Annual Family Premium	-$13,000	-$11,000
Adjusted Gross Pay	$43,950	$41,250
Estimated Tax Rate (15%)	$6,622.50	$6,255
Estimated Annual Expenses	$3,050	$3,050
Remaining FSA vs. HSA Balance	+ $0	$4,450
Remaining Take Home Pay with FSA vs. HSA	$34,677.50	$37,045

YOUR TAKE HOME PAY COULD BE $2,367.50 MORE WITH THE HSA

All figures in this table are estimates and based on an annual salary and maximum contribution limits to the benefit account. Your salary, tax rate, health care expenses, and tax savings may be different.

Who Is Eligible?

In order to be eligible to enroll and contribute to a Health Savings Account (HSA), you must first ensure you meet the necessary requirements. If your answers to the below questions match ours then you are likely eligible to open and contribute to an HSA.

Question	Answer
Are you currently enrolled or covered by a HSA-qualified high deductible health plan?	YES
Is the annual deductible for your health insurance plan higher than $1,350 for individual coverage or higher than $2,700 for family coverage?	YES
Is the annual maximum out-of-pocket for your health insurance plan less than $6,750 for individual coverage or less than $13,500 for family coverage?	YES
Are you covered by any other health plan (such as a spouse or parent) that is not considered a HDHP?	NO
Are you currently enrolled in Medicare (Part A or Part B)	NO
Are you currently enrolled in either a Health Care Flexible Spending Account (FSA) or Health Reimbursement Arrangement (HRA) that reimburses you for medical expenses in addition to dental and vision expenses?	NO

Contribution Limits

Self-Only Coverage	2023	2024	2025
Maximum Annual HSA Contribution	$3,850	$4,150	$4,300
HSA Catch-up Contribution (Age 55 or Over)	$1,000	$1,000	$1,000
Minimum Annual Deductible for HDHP	$1,500	$1,600	$1,650
Maximum Out-of-Pocket Limit for HDHP	$7,500	$8,050	$8,300
Family Coverage	2023	2024	2025
Maximum Annual HSA Contribution	$7,750	$8,300	$8,550
HSA Catch-up Contribution	$1,000	$1,000	$1,000
Minimum Annual Deductible for HDHP	$3,000	$3,200	$3,300
Maximum Annual Out-of-Pocket Limit for HDHP	$15,000	$16,100	$16,600

“NueSynergy helped me with everything I needed regarding my HSA. I’m truly grateful for their service.” – Judy Smith

Understanding Employee Benefit Acronyms: A Quick Guide