Health Savings Account

Health Savings Account

What is a Health Savings Account?


Health Savings Accounts (HSA) were passed into law in 2003 and became effective January 1, 2004.  They were created to lower overall healthcare costs without compromising quality and choice in your medical care.  Simply put, an HSA is a tax-deferred, private savings account designed to pay for current and future medical, dental, vision, alternative, and preventative expenses with tax-free money. 


The health savings account works only in tandem with a High Deductible Health Plan (HDHP).  An HDHP covers serious injury or illness once your deductible is met.

The concept is simple:  Lower your insurance premiums and use the savings to fund your HSA to pay for medical and preventative expenses with tax-free money, while lowering your taxable income and saving tax-deferred for retirement!