Health Savings Accounts For Your Employees

If you’re considering switching to a high-deductible health insurance plan for your employees, you may want to pair it with a Health Savings Account. A Health Savings Account is a tax-favored account designed for use with a high deductible health plan. It is used to pay for current and future medical expenses. To qualify, the health plan must have at least a $1,100 deductible for single coverage or $2,200 for family coverage. In addition, your 2007 out-of-pocket maximum to qualify for an HSA cannot exceed $5,500 for an individual and $11,000 for a family. In 2008 that changes to $5,600 for an individual and $11,200 for a family.

In addition, Health Savings Accounts can help finance retiree health care. Unused deposits roll over each year and grow tax-deferred through investment earnings, much like an individual retirement account. And, a Health Savings Account is owned by the individual that opens the account, not the company.

How It Works:

• Open an Health Savings Checking Account
• Make tax-free contributions
• Access the money to pay for medical expenses with a free debit card or paper checks*

Our Account Offers:

• Competitive tiered interest rates
• Free debit card
• No monthly fee if balance is above $5,000
• Direct deposit available
• $15 set-up fee

Open your account today:

• Apply online
• Apply in person

*Checks available at normal rates. Set up fee subject to change. For 2007, the maximum amount that can be contributed and deducted to an HSA from all sources is $2,850 (self coverage only) or $5,650 (family coverage). For 2008: $2,900 (self coverage only) or $5,800 (family coverage). Individuals age 55 and older are allowed an additional “catch-up” contribution of $800 in 2007, $900 in 2008 and $1,000 for 2009 and after. We recommend that HSA applicants and/or employers contact qualified tax or legal counsel before establishing (or contributing to) Health Savings Account.