You read that right, no rollover limit.
Those enrolled in a Qualified High Deductible Health Plan (QHDHP) and not covered by any other insurance for health expenses qualify for an HSA.
The money in the plan can be used for common medical expenses and since there’s no annual rollover limit, employees can quickly accumulate a significant balance in their HSA.
Plus, HSAs can be paired with a limited-purpose or post-deductible FSA or HRA!
Understand HSA compliance regulations.
As with all consumer driven health plans, there are a few things you must keep in mind to ensure compliance and avoid penalties.
Note the following about HSAs:
- They can be offered only with a QHDHP and not covered by any other insurance for health expenses.
- Contribution limits: For 2017, it’s $3,400 for self-only and $6,750 for family.
- HSA dollars may be used by the account holder, their spouse and any dependents.
- Most common medical expenses are qualified.
- Funds used for non-medical expenses are taxed as income and incur a 20% penalty.
Need assistance with eligibility requirements?
The PrimePay team is here to help you make the most out of this plan.
Not to mention, we’ll help you through account setup and funding processes. If there’s ever an issue, don’t worry -- we will work with the bank holding the account, you and the account holder.
Plus, our HSA plans come complete with POP (for free).