A HEALTH SAVINGS ACCOUNT YOU CAN COUNT ON
Take control of your healthcare costs
Medical expenses are often unexpected, so it’s nice to know you can be prepared with a Health Savings Account (HSA) from Bank Iowa. Plus, you’ll enjoy several tax-free advantages while you save, knowing any unused savings will grow year after year.
How does an HSA work?
A Bank Iowa HSA provides a simple way to manage and pay for medical bills. This account can be used in conjunction with a high deductible health plan (HDHP) to help save money for medical expenses that fall below your deductible. Tax-exempt contributions can be used to pay for qualified health care expenses* for you and your family at any time without tax liability. You choose your contribution level and then use your HSA like a regular checking account to pay for as doctor visits, orthodontia, prescriptions and vision care with a Bank Iowa HSA debit card, a written check or online bill pay.
What are the benefits of an HSA?
- Make tax-deductible contributions that are FDIC-insured.
- Save money for future medical costs and earn tax-free interest.
- Carry-over your balance from year to year (there’s no “use it or lose it” policy).
- Keep your HSA, regardless of a change in coverage or employment.
- Use HSA funds to supplement income without penalty if you are 65+.
- No initial set up fee or opening deposit is required, and there’s no minimum balance to maintain.
- Receive free online, mobile and text banking, plus bill pay.
- Receive a free HSA debit card.
- Receive free eStatements (printed statements available for a $2 monthly service charge).
Am I qualified for an HSA?
- Must be under the age of 65 and have coverage under an HSA-qualified, high deductible health plan
- Cannot be covered under another type of health plan or be enrolled in Medicare
- Must not be claimed as a dependent on another person’s tax return
- Low annual fee of $20
What are HSA contribution limits?
The maximum amount you are allowed to contribute is based on IRS limits and is different for individuals versus family coverage. If you are 55 or older, you are allowed to make “catch-up” contributions. Please visit irs.gov for current contribution limits.
* For a complete list of qualified medical expenses, visit irs.gov.