Health Savings Accounts (HSA)
A Health Savings Account is a tax-free way for you to pay for current, future and retirement health expenses. However, to qualify for an HSA, you must be enrolled in a High Deductible Health Plan (HDHP) and you must not be covered by any other health insurance plan (excluding automobile, specific-injury, dental, vision, disability or long-term care insurance).
You cannot open an HSA once you enroll in Medicare, but if you had an HSA prior to enrolling, you can continue to pay for medical expenses from the account, tax-free. You cannot continue to make contributions to your HSA, however. In addition, you may not contribute to an HSA if you can be claimed as a dependent on someone else’s tax return.
A Bronco Health Savings Account offers you:
- Flexibility—You can use the funds in your account to pay for current medical expenses, including expenses that your High Deductible Health Plan may not cover. Or you can save the money in your account for future medical expenses.
- Savings—You can grow your HSA through investments, like an Individual Retirement Account.
- Control—You make all the decisions about your account as far as how much money you put in, when you make contributions, and which investments to fund.
- Portability—You keep your HSA even if you change jobs, change your medical coverage, become unemployed, move to another state or change your marital status.
- Ownership—Unlike some medical “cafeteria” plans, your HSA funds remain in your account from year to year. There are no “use it or lose it” conditions.
- Triple Tax Savings
- You can take a tax deduction for the amount contributed to your account.
- You earn tax-free interest through investments.
- Any withdrawals are tax-free when used for qualified medical expenses.
When you’re ready to open your Health Savings Account, simply stop by any Bronco office or call us at 757.569.6000.
Be sure to check with a qualified tax advisor when opening an IRA. More information on IRAs here.
Not yet a member? It's easy. Simply call 757.569.6000 or email us. Already a Bronco member and want to open another account? Call us or come on in and bring your ID.