The Health Savings Plan
The HSA, or Health Savings Account was established by Congress in December, 2003 and became available in Kansas in July, 2004. Not every health insurance company has chosen to offer HSA plans. Eck Agency represents most of the companies who do offer the plans. We can be you one stop shop for exploring the HSA benefits for you and your family.
HSA Plans consist of two parts:
1. A High Deductible Health Insurance Plan (HDHP), and
2. A trust account for the savings portion of the plan. This is the actual Health Savings Account. Contributions to the savings account are tax deductible. Some examples of eligible expenses. See IRS Publication 502 for more detail
No one can establish an HSA without first having a qualifying HDHP,
When an HSA is used together with an HDHP, health care expense dollars are split between health insurance and the HSA. The HSA owner decides the amount to deposit in the HSA up to the maximum allowable. At the end of the year, any money that hasn't been used can remain in the HSA for the following year's medical expenses.