What is a Health Savings Account (HSA)?
A Health Savings Account is an alternative to traditional health insurance expense control. It combines a high deductible health plan with a savings account. Together, the insurance and your savings pay for your health expenses.
Benefits of a 1st Mariner HSA include:
- No minimum to open
- Interest paid on all balances
- No setup fee
- No minimim balance requirement
- No per check charge
- Visa Debit Card
- Free Use of 1st Mariner ATMs
- Free Online Banking w/ Bill Pay
- Low monthly service charge
How does an HSA work?
An HSA works just like a checking account. Funds can be withdrawn by check, debit card, or over-the-counter at a branch. Your balance stays in the account and grows tax-deferred.
Who can get an HSA?
Any individual who is not covered by Medicare and buys a qualified high deductible health insurance policy can qualify for a Health Savings Account. Any high deductible insurance policy qualifies (deductible for 2009 must be at least $1,100 for singles, $2,200 for families), as long as it meets IRS requirements. You can have other disability, dental, vision, specific disease/ illness, accident, and long-term care insurance policies and still qualify.*
How much can I contribute to an HSA annually?
In 2009, individuals can contribute up to $3,000 and families can contribute up to $5,950. If you are 55 or older, you can add an additional $1,000.
In 2010, individuals can contribute up to $3,050 and families can contribute up to $6,150. If you are 55 or older, you can add an additional $1,000.
*For qualified health care expenses