save for future medical expenses
A Health Savings Account is like a personal savings account but the money is used only for qualified healthcare expenses. Some other benefits of a HSA:
- Allows members with a high deductible health plan to pay for current medical expenses and save for future health expenses on a tax-favored basis
- Cannot be enrolled in Medicare to qualify for an HSA account
- Withdrawals from HSA accounts are tax free if used for qualified medical expenses
- Checks can be written against your HSA at the Credit Union anytime you need to pay for health expenses
- No annual or administrative fees
- Annual contribution limits are set by IRS
- Funds in account can be rolled from one year to the next which means the money in the account can build over time with no limitation
