When you are sick or injured, having a financial safety net helps you focus on getting better instead of worrying about medical bills. Offering tax savings, convenience, and portability, a Health Savings Account (HSA) is a smart tool to help you save money while providing you with peace of mind.
What is an HSA?
Regulated by the government, an HSA allows you to save pretax earnings to cover health care costs that are not paid by your insurance. Most people who are enrolled in a high- deductible health plan are eligible. If you have any questions regarding your eligibility, we are here to provide you with personal assistance.
For 2019, the maximum contribution allowed by the Internal Revenue Service (IRS) is $3,500 for individuals and $7,000 for families. If you are over the age of 55, you are allowed an additional $1,000 maximum catch-up contribution.
Similar to the more traditional Flexible Savings Accounts (FSAs), HSA funds can be used for wellness visits and other appointments to diagnose medical conditions. These funds can also be used for eligible treatments, surgeries, and medications. In addition, many dental (including orthodontia) and eye care services are eligible. To check out the full list of eligible expenses, see IRS Publication 502.
At Guaranty Bank & Trust, your HSA comes with a free MasterCard debit card you can use to pay for eligible health care expenses.
Portability is one of the biggest advantages of an HSA. If you leave your current employer, your account is still managed by Guaranty Bank & Trust. And unlike traditional FSAs where you must "use or lose" your money, Health Savings Account funds that are left at the end of the year roll over to the next year. Your money is yours forever. In addition, as long as the requirements are met, HSA contributions are tax-deductible, and earnings and eligible withdrawals are tax-free.
Guaranty Bank & Trust is one of the oldest and most respected banks in Texas, and we are here to serve you with any planning you would like to discuss with us. To learn more, come into a location today, visit us online, or give us a call at (888) 572-9881.
Health Savings Accounts give people a better way to pay for current health expenses, and save for future qualified medical and retiree health expenses.
You're free to choose the types of investments you want to make your money grow, and your Health Savings Accounts' plan balance will grow faster because it's earning tax-free interest. Your withdrawals for qualified medical expenses will be tax-free, too.
Employers can't take your Health Savings Account. It's yours to keep if you change jobs, become unemployed, or retire. That's true even when you change plans, and you don't have to use the money in your account to meet any deadlines. Whatever money or interest remains in your account will be carried over from year to year.
Tax savings1, convenience, portability. These are just a few of the perks of opening up a Health Savings Account (HSA) at Guaranty Bank & Trust. When an unexpected medical bill rolls in, an HSA can help you deal with the stress.
Account Details: