Health Savings Accounts
What is an HSA?
HSA stands for Health Savings Account and is a great way to set aside tax-advantaged dollars for medical expenses not covered by insurance. The great thing about HSA's is that any unused dollars can be put towards your retirement savings. cPort HSAs require no minimum balance to open and have no monthly fees.
What are the benefits?
- HSAshave 3 major tax benefits:
- Deposits are tax deductible.
- Withdrawals from HSAs are not taxed, if used for qualifying medical expenses.
- Interest earned on your HSA balance is not taxed.
- HSAs are portable, meaning if you change jobs or move away, your money stays with you.
- Balances roll over year to year. There is no "use it or lose it" rule. Your money is yours until you need it for medical purposes, or you can use it for retirement!
- Anyone can contribute to your account; you, your employer, or family members.
- You can access your HSA by debit card, check, or cash withdrawal.
- Funds may be used to cover expenses for you, your spouse, or your dependent children.
Who qualifies for an HSA Account?
- A person who is enrolled in an HDHP (High Deductible Health Plan),
- A person who is not enrolled in Medicare or other non-HDHP health plan, and,
- A person who is not claimed as a dependent on someone else's tax return.
To learn more about opening your HSA Account, give us a call at 1-800-464-0253 or email us at [email protected].*
*cPort Credit Union does not provide tax, investment, legal or accounting advice. This information is therefore not intended to provide, and should not be relied on for, tax, investment, legal or accounting advice.