Health Savings Account (HSA) | Solidarity Community Federal Credit Union

[crust_split_text tag=”h1″ h_align_desktop=”center” lax_from_translate_y=”30″ lax_to_translate_y=”-70″ color=”#ffffff”]Solidarity’s Health Savings Account[/crust_split_text]

[crust_split_text tag=”h4″ lax_from_translate_y=”30″ lax_to_translate_y=”-70″ wrap_margin_desktop=”-10px 0 0 0″]Use your pre-tax dollars to pay for future medical expenses[/crust_split_text]

[crust_text h_align_desktop=”center” wrap_bg_type=”image” zero_bottom=”true” color=”#ffffff” wrap_margin_desktop=”0 0 30px 0″ wrap_padding_desktop=”10px 10px 10px 10px” wrap_bg_color=”#bf1e29″ typography=”font-size: 24px;font-weight: 600;letter-spacing: 1px;” wrap_border_radius=”8px 8px 8px 8px”]A health savings account (HSA) is an account you can use to save for future medical expenses. There are certain advantages to putting money into these accounts, including favorable tax treatment.[/crust_text][crust_text wrap_margin_desktop=”0px 0px -20px 0px” dark_head=”” dark_hover_head=””]A Health Savings Account (HSA) offers many benefits including tax advantages such as pre-tax contributions, tax-free growth, and tax-free withdrawals for qualified medical expenses. HSAs offer long-term savings by allowing funds to roll over annually and serve as supplementary retirement savings. They provide control and flexibility since the account is owned by the individual, and can be invested for growth. HSAs cover a wide range of medical expenses, encourage cost-conscious healthcare decisions, and offer portability and convenience with adjustable contributions and easy payment options. These features make HSAs a valuable tool for managing both current and future healthcare costs.

2025 Guidelines

Minimum Deductible Amounts

$1,650 single plan
$3,300 family plan

Maximum out-of-pocket limits

$8,300 single plan
$16,600 family plan

HSA contribution limits

HSA members can contribute up to the annual maximum amount that is set by the IRS.

$4,300 single coverage
$8,550 family coverage

2024 Guidelines

Minimum Deductible Amounts

$1,600 single plan
$3,200 family plan

Maximum out-of-pocket limits

$8,050 single plan
$16,100 family plan

HSA contribution limits

HSA members can contribute up to the annual maximum amount that is set by the IRS.

$4,150 single coverage
$8,300 family coverage

Catch-up contributions

Those 55 and older are allowed by the IRS to contribute an extra $1,000 to their annual maximum amount.

$5,150 single coverage
$9,300 family coverage

Prorated contribution limits

The IRS states that contribution limits must be prorated by the number of months one is eligible to contribute to a health savings account. Divide the contribution limit by 12 and contribute that amount.

FSA with grace period terms

A health FSA with a grace period may offer a period of up to 2 months and 15 days after the close of a plan year during which members can incur reimbursable expenses. This 2-month-and-15-day grace period generally disqualifies those from contributing to an HSA until the first calendar month beginning after the grace period ends (e.g., April 1 in the case of a grace period beginning January 1 and ending March 15) unless the health FSA account balance is $0 at the end of the immediately prior plan year (e.g., as of the previous December 31 for a calendar-year plan), in which case such coverage can be disregarded and the individual is HSA-eligible during the grace period.

IRA to HSA rollover

HSA owners may make a one-time distribution of money from an IRA into an HSA. An individual may only do this if they are already eligible to have an HSA. Funds can only be rolled over once during a lifetime. The maximum rollover amount is the same as the annual HSA contribution limit for that year.

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[crust_btn color=”#ffffff” bg_color=”#bf1e29″ link=”url:%2Fbecome-a-member%2F”]Become a Solidarity Member to start saving![/crust_btn]

[crust_text wrap_margin_desktop=”0px 0px -20px 0px”]To open a Health Savings Account (HSA) with Solidarity, stop by one of our office locations or call 765-453-4020.[/crust_text]

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