Health Savings Account
A Bank of St. Croix Health Savings Account (HSA) is a special account owned by an individual who participates in a High Deductible Health Plan (HDHP). The account holder, employer, or any other person can make contributions.
- Open an account with a $25 deposit (no minimum if opened through payroll deduction or made by employer)
- Earns interest
- Log on to Bank of St. Croix’s Online Banking at bankofstcroix.com to track your HSA balance and transactions
- No annual “use it or lose it” rule
- Maximum annual contributions are set by the IRS
- Access funds via a check or Visa® Debit Card
- FDIC insured
There is no monthly service fee with this account.
Health Savings Account Frequently Asked Questions
Who can participate in an HSA?
Any adult can contribute to an HSA if they:
- Have coverage under an HSA-qualified HDHP
- Have no other first-dollar medical coverage (permitted insurance types include specific injury or accident, disability, dental care, vision care, or long-term care insurance)
- Are not enrolled in Medicare
- Cannot be claimed as a dependent on someone else’s tax return
How do I contribute to an HSA?
Contributions to an HSA can be made by you, your employer, or any other person for your benefit. The combined contribution each year cannot exceed the maximum set by the IRS. Contributions can be made through payroll deduction, transfer from another account, by mail, or in person.
What is a qualified medical expense?
Qualified medical expenses are services that are typically covered by a healthcare plan, such as office visits, emergency room services, and hospitalization. Prescription drugs, many over the counter drugs, vision expenses including eyeglasses and contact lenses, and non-cosmetic dental expenses are also included.
What is a High Deductible Health Plan?
A health plan with an annual deductible that meets the IRS guidelines found in Publication 969. In addition, the plan can have no copayments for medical services; prescription drug costs may apply to the plan deductible.
Can I use my HSA account money to pay for family members qualified medical expenses?
You can use the money in your HSA account to pay for your spouse, your dependent children, or yourself.
If another person makes a contribution to my HSA, who gets the tax benefit?
You will receive the benefit of the tax deduction.*
I am self-employed, do I qualify for an HSA?
Yes, any individual who is covered by a qualified HDHP may establish an HSA.
Disclosures will be provided at account opening.
*Contact your tax advisor for more information about Health Savings Accounts.