Who is eligible for an HSA?

You must be covered by an HSA-qualified High Deductible Health Plan (HDHP) to take advantage of an HSA. A HDHP is a less expensive health insurance plan that generally doesn’t pay for the first several thousand dollars for health care expenses (i.e., your deductible), but will generally cover you after that. For more details on what is considered an HSA-qualified HDHP, refer to the contribution guidelines or contact your insurance agent or tax professional.

Generally you are eligible if:

• You are an adult covered by a High Deductible Health Plan (HDHP).

Generally you are not eligible if:

• You are covered by another health insurance plan that is not a HDHP.
• You are enrolled in Medicare.
• You can be claimed as a dependent on someone else’s tax return.
• You have received health benefits from the Veterans Administration or one of their facilities, including prescription drugs, in the last three months.

Some Exceptions include:

• Dental, vision, disability and long-term care insurance are acceptable. You may have coverage for a specific disease or illness as long as it pays a specific amount when the policy is triggered.
• Wellness programs offered by your employer are also permitted if they do not pay significant medical benefits.

Example 1: Jim and Susan have family HDHP coverage with a $5,000 deductible. Jim has no other coverage. Susan also has family coverage with a $200 deductible. Jim and Susan are treated as having family coverage with the lowest annual deductible ($200). Neither Jim nor Susan is an eligible individual and neither may contribute to an HSA.

Example 2: Mike and Carol have family HDHP coverage with a $5,000 deductible. Mike has no other coverage. Carol is also enrolled in Medicare. Carol is not an eligible individual and cannot contribute to an HSA. Mike may contribute $6,150** to an HSA.

Back to Account Information

 

Find out more information:

• What is a Health Savings Account?
• Who is eligible for an HSA?
• What are the tax benefits and regulations?
• HSA Contributions
• Making Payments with your HSA
• Contribution Guidelines