HSA Solutions, LLC

Qualified Expenses
What are eligible medical expenses which I can pay for with tax deductible HSA funds?
An eligible medical expense is defined as those expenses paid for care as described in Section 223 (d) of the Internal Revenue Code. Below is a link to view a pdf file which may help determine whether an expense is eligible for HSA reimbursement. The lists are intended to serve as a quick reference and are provided with the understanding that HSA Solutions, LLC is not engaged in rendering tax advice. For more detailed information, please refer to IRS Publication 502 titled "Medical and Dental Expenses", Catalog Number 15002Q. Publications can be ordered from the IRS by calling 1-800-TAX-FORM (1-800-829-3676), or viewed, printed, or downloaded in PDF format here. If tax advice is required, seek the services of a competent professional.

Health insurance may not be purchased with HSA Funds. There are three exceptions. HSA funds can be used to pay for: 1) a health plan during any period of continuation coverage required under any federal law, 2) a qualified long-term care insurance contract, 3) a health plan during a period in which the individual is receiving unemployment compensation under any federal or state law.
More Consumer Information
Frequently Asked Questions Benefits and Advantages Account Features
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FAQs
What is a Health Savings Account ("HSA")?
A Health Savings Account allows individuals to pay for current health expenses and save for future qualified medical and retiree health expenses on a tax free basis.
Who is eligible for a Health Savings Account?
To be eligible for a Health Savings Account, an individual must be covered by a High Deductible Health Plan (HDHP), must not be covered by other health insurance (does not apply to specific injury insurance and accident, disability, dental care, vision care, long-term care), is not eligible for Medicare, and can't be claimed as a dependent on someone else's tax return.
What is a "High Deductible Health Plan" (HDHP)?
A HDHP is a health insurance plan with minimum deductible of $1,150 (self-only coverage) or $2,300 (family coverage). The annual out-of-pocket (including deductibles and co-pays) cannot exceed $5,800 (self-only coverage) or $11,600 (family coverage). HDHP's can have first dollar coverage (no deductible) for preventive care and higher out-of-pocket (copays & coinsurance) for non-network services.
Who can contribute to a Health Savings Account?
Contributions to HSA's can be made by either the employer or the individual, or both. If contributions are made by the employer, it is not taxable to the employee (excluded from income).
How much can I contribute to a Health Saving Account?
The maximum contribution for 2009 is $3,000 for individuals or $5,950 for family coverage. These dollar limits will be adjusted for inflation each year.
Do Health Savings Account funds roll over year after year and get invested?
Yes, the money invested in a Health Savings Account rolls over year after year.
Who has control over the money invested in a Health Savings Account?
In most cases the individual will have control over the assets.

Benefits and Advantages
HSA Accounts encourage savings for future medical expenses
Non-covered services under future coverage
When employer-sponsored coverage is lost during periods of unemployment
Other coverage
Medical expenses after retirement (before Medicare eligibility)
Insurance coverage after Medicare eligibility (except Medigap)
Out-of-pocket expenses for Medicare
Long-term care expenses
Accounts are owned by the individual (not an employer). The individual decides:
How much to contribute
How much to use for medical expenses
Which medical expenses to pay from the account
Whether to pay for medical expenses from the account or save the account for future use
Which company will hold the account
What type of investments to grow account
Accounts are completely portable, regardless of:
Whether the individual is employed or not
Which employer the individual works for
Which state an individual moves to
Age or marital status changes
Future medical coverage
No "use it or lose it rules" like Flexible Spending Arrangements (FSAs)
Unspent balances in accounts remain in the account until spent on medical care
Encourages account holders to spend their fund more wisely on their medical care
Encourages account holders to shop around for the best value for the health care dollars
HDHP premiums should be cheaper than health insurance with traditional deductibles
Favorable tax treatment
Contributions
Disbursements
Investment earnings
President Bush has proposed an above-the-line deduction for HDHP premiums

Account Features
Checking Account:
Your HSA will be deposited with the Bank of your choice. You will receive a monthly account statement which details all deposits and withdraws. If you have written checks, you will receive images of the checks with your statement. Your account balances are FDIC insured up to the limits imposed by the FDIC.
Debit Card:
Your Debit Card can be used for your convenience to make Qualified Healthcare purchases anywhere your bank's debit card is accepted. Purchases will be automatically deducted from your HSA. Certain fees may apply.
Checks:
If you ordered HSA Checks, you will receive a special supply of Health Savings Account checks that can be used to pay for your Qualified Healthcare Expenses.
Interest Rates:
Your account may earn interest if your HSA account balance meets certain guidelines. For additional information, see individual bank truth-in-savings documents.
Internet Access:
You will have immediate access to your account balances & activity through online services. Once your HSA account is established with the bank of your choice, review the process for their online services. (Note: Not available at all Partner Banks.)
24 Hour Telephone Banking:
You will have access to your account balances & activity through a toll free number. Once your HSA account is established, simply call and sign up at no cost.
Full Service Banking:
You may visit any of our partner banks for other services.
Brokerage Information:
Some of our partner banks are offering brokerage options. View each bank's website for this service.