Health Savings Accounts - HSA

  • The HSA Program

    Who is Eligible for a Health Savings Account (“HSA”)?

    If you are a participant in the Silver + HSA or the Gold + HSA, you are eligible for the District’s HSA, and you are not eligible for the health care FSA. (The PPO Plan participants are not eligible for a HSA.)

     

    Silver + HSA

    Gold + HSA

    Single Coverage

     

     

      Legal Contribution Maximum

    $3,500

    $3,500

      District Contribution

    $480

    $600

      Your Contribution Maximum

    $3,020

    $2,900

    Family Coverage

     

     

      Legal Contribution Maximum

    $7,000

    $7,000

      District Contribution

    $960

    $1,200

      Your Contribution Maximum

    $6,040

    $5,800

    What is an HSA?

    The Gold + HSA (a Consumer Driven Health Plan) and the Silver + HSA give you the option of opening a health savings account (HSA), if you are eligible. An HSA is a personal bank account that you own. You can use it to save money, free of federal income tax, to pay for qualified medical expenses. When you have medical expenses, including those that may apply to your annual deductible, you can choose to pay for them using the money in your HSA. Or, you can save the money for a future need — even into retirement. It’s your choice.

    Using Your HSA

    You can decide how and when to use these funds.  You can either use them to pay for current health care expenses, or save them for future needs.  HSA account balances can be used for yourself, your spouse and/or dependent children. [Please note the HSA rules were not amended by Health Care Reform to allow medical expenses for non-dependent children under age 27 to be reimbursed tax-free from a parent’s HSA. So, if you have a non-dependent child under age 27 enrolled as an Adult Child in the health plan, out-of-pocket expenses related to that non-dependent Adult Child are not eligible for reimbursement from your HSA.]

    Any amounts that are used for expenses not considered qualified medical expenses are subject to a 20% tax penalty.

    If you die with a balance remaining in your HSA, the account can be used by your spouse as if it were his/her own.  If you are not married, the HSA will pass on to your beneficiary and be subject to applicable taxes.

    Medicare Covered Individuals- Individuals can still enroll in Medicare after opening an HSA and you may continue to use the funds in your HSA for qualified medical expenses. However, contributions to one’s HSA account are no longer allowed after beginning Medicare coverage.

    Future Enrollment or Job Changes

    Changes to your personal status including:  job changes, marital and medical coverage changes or becoming unemployed will not affect the status of your HSA.  However, you must be enrolled in the CDHP plan at the time that the District makes its employer contributions to qualify for the employer contribution.

    HSA Balance Carries Over to Next Year!

    If you have a balance remaining in your HSA at the end of a calendar year, the money rolls over to the next year like the balance of traditional savings accounts.  There is no minimum amount that is required to be spent on a yearly basis.  

    Convenient Access to Your Account Funds

    Your HSA comes with a Health Savings Account Debit Mastercard.  It’s an easy way for you to pay for any qualified out-of-pocket expenses.  You may also order checks, but there is an additional charge.