A Health Savings Account (HSA) is a tax-exempt custodial account established exclusively to pay or reimburse Qualified Medical Expenses you, and/or a qualified family member or dependent incur.
Elligibility: To be an eligible individual and qualify for an HSA, you must meet the following requirements as established by the Internal Revenue Service (IRS):
- You must be covered under a High Deductable Health Plan
- You must have no other health coverage except what is permitted by the IRS
- You must not be enrolled in Medicare
- You cannot be claimed as a dependent on someone else’s tax return
Maximum Contribution Limits: The amount you or any other person can contribute to your HSA depends on the type of HDHP coverage you have, your age, the date you become an eligible individual, and the date you cease to be an eligible individual. For 2016, if you have self-only HDHP coverage, you can contribute up to $3,350. Individuals not participating in a HDHP the entire year may be restricted to lower funding levels. If you have family HDHP coverage you can contribute up to $6,750. Individuals age 55 and over may make an additional contribution annually of $1,000.
The information on this page or associate links is being provided to you as a member convenience only. United Methodist Financial Credit Union (Credit Union) does not offer tax or legal advice and this information is NOT intended to serve as tax, legal or insurance advice. You should direct all legal questions to an attorney and tax questions to a qualified tax professional regarding your specific situation.