Health Savings Accounts

With BEST Life’s Health Solutions High Deductible Health Plan, you and your employees can enjoy the advantages of a Health Savings Account.

Health Savings Accounts (“HSA") are individually owned accounts designed to accumulate money to cover qualified medical and future retiree health expenses. They also offer tax-savings benefits for both the employer and employee!

Advantages to the Employee:

1. Accumulates money tax-free
2. Withdraw and use funds for qualified medical expenses on a tax-free basis
3. “Left over” money can be carried forward from year to year
4. The account can be kept open even after employment with the company ends (portability)
5. Money can be used in the future for retiree health expenses on a tax-free basis
6. HSA may be invested in IRA approved products, including bank accounts, annuities, CDs, stocks, bonds and mutual funds

Advantages for the Employers:

1. Your contributions are tax deductible
2. If offered in combination with a Section 125 Plan, you pay no social security or federal unemployment taxes (FUTA) on the amount contributed

Because HSAs are owned by the employee, HSAs also provide participants the freedom to choose how they spend their money while encouraging them to be accountable for their health care decisions.

You or your employees can use any HSA provider or bank with your BEST Life High Deductible Health Plan. For more information about HSAs, contact your HSA provider. If you do not have an HSA provider, your BEST Life Sales Representative, Account Manager or Broker can recommend one to you.