If you enroll in the Care Plus HSA plan, you are able to contribute pretax dollars to an HSA. An HSA is an individual trust or custodial account that eligible individuals may use to pay for qualified out-of-pocket health care expenses, including medical, dental, vision and prescription drug costs before and after meeting deductibles. BenefitWallet® is the HSA administrator. After you enroll, you will receive more information in the mail about setting up your BenefitWallet HSA.

KEY HSA FEATURES

Pretax Contributions: You may contribute pretax income to an HSA.

Triple Tax Benefit:

  1. Pretax contributions from your paycheck can be set at Open Enrollment and prospectively changed at any time. HSA payroll deductions will start with your first available pay after July 1, 2021.
  2. Withdrawals from your HSA used to pay for qualified health care expenses for you and your tax dependents are free from federal income tax. Any money left in your HSA at the end of the year remains in your HSA year over year.
  3. Once your HSA reaches a balance of $1,000, you can invest your funds. Interest and any earnings in the account are free from federal income tax (provided you withdraw the money to pay for qualified health care expenses).

Portable: Your HSA is owned by you and remains with you should you leave the company.

Health Care: Your HSA funds can be used in retirement to pay for qualified health care expenses.

Employer Contributions: WSI will make contributions into your HSA on a per-paycheck basis. The maximum amount contributed on a plan year basis is $500 for individual coverage and $1,000 for family coverage. Employer contributions are prorated based upon when you begin participating in the Care Plus HSA medical plan.

Qualified Expenses for Your HSA – Your HSA allows you to save up to 35% in taxes on every dollar you contribute. Click here for more information.

WHO CAN ENROLL?

Per IRS regulations, you must be enrolled in a High Deductible Health Plan (HDHP to be eligible to contribute to an HSA. In addition, you cannot:

  • Have any health coverage, other than an HDHP. However, you can still be an eligible individual even if your spouse has non-HDHP coverage, provided you are not covered by that plan.
  • Have coverage under a general purpose health care FSA or health reimbursement arrangement, TRICARE, general purpose health reimbursement account or any other type of coverage that provides significant benefits in the nature of medical care.
  • Be a dependent on another person’s tax return.
  • Be enrolled in Medicare (note that if you delay your enrollment in Medicare Part A at age 65 you will remain eligible to contribute to an HSA).

CONTRIBUTION LIMITS

The federal government limits the total amount of money that can be contributed to an HSA in a single year. You are responsible for ensuring the total of your contributions to your account stay within the federal limits.

IRS HSA Annual Contribution Limits

2021

Associate Only Coverage

$3,600

Associate Plus Child(ren) Coverage

$7,200

Associate Plus Spouse Coverage

$7,200

Family Coverage

$7,200

Age 55 Catch-up Contribution

$1,000

The annual total of all contributions to your HSA, from all sources, including your contributions through payroll deduction, any after-tax personal contributions and any employer contributions, cannot exceed the above annual contribution limit. Because your benefits coverage crosses into two calendar years, whatever you elect to contribute to your HSA this year will also carry over into next calendar year.

If you decide to participate in an HSA this plan year, you will need to decide how much you want to contribute. This amount will depend on your anticipated expenses and budget for the coming year. You will also need to take into account the annual IRS limits on your contributions. This year, you and WSI can contribute up to a combined $3,600 for individual coverage and $7,200 for families. In addition, if you are eligible and enroll in the Care Plus HSA plan, and you are at least age 55, you may be able to make additional “catch-up” contributions each year to your HSA bank account up to $1,000.

BENEFITWALLET MAKES MANAGING YOUR HSA EASY

  • Member Portal – The BenefitWallet Member Portal has everything you need to understand and manage your HSA, from savings calculators to account statements.
  • Debit Card – Debit cards make it easy to use your HSA account and offer greater consumer protection and peace of mind. One card per account will be mailed to each enrolled member and must be activated upon receipt.
  • Mobile App – The BenefitWallet mobile app features Touch ID and easy access to the BenefitWallet Service Center. To download the mobile app, search for it by name (BenefitWallet+) in Google Play (for Android users) or Apple Store (iOS).

Investing with your HSA

Your HSA has a built-in investment account that can be used like a 401(k) for health care costs in retirement. Remember, the money in your HSA never expires. There are several benefits to investing in an HSA:

  • You can save for medical expenses in retirement.
  • Your investment gains are tax free.*
  • You have the potential of investment growth.
  • You have the flexibility to spend the money any time – from today through retirement.

You can learn more about investing with an HSA here.

*Investment gains are not subject to federal income tax or state income tax in most states.