Health Savings Account
An Innovative Option For Your Employees
With an HSA from American National Bank, your employees can be prepared to cover their high deductible, while maintaining ownership of any funds not used over the course of the year. We are proud to have been among the first financial institutions in the area to offer this innovative account.
Qualifications
* Health Care coverage under a "high deductible health plan" (HDHP)
* Are not enrolled in Medicare
* Cannot be and are not claimed as a dependent on someone else's tax return
* Have no other medical coverage through your own or spouse's employer-sponsored health care plan that is not a qualified HDHP
HSA Contributions
You can make a contribution to your HSA each year that you continue to have an (HDHP)
Eligible contributors include individual or any other individual on his/her behalf, individual's employer, or any other entity
If you are 55 or over, you can also make an additional "catch-up" contribution
Contribution limits for 2011 are as follows:
Regular HSA Contribution| Tax Year | HDHP Coverage | Standard Limit | Catch- Amount (Age 55+) | Total Contribution Limit for Ages 55+ |
|---|
| 2010 | Self-Only | $3,050 | $1,000 | $4,050 |
| Family | $6,150 | $7,150 |
| 2011 | Self-Only | $3,050 | $4,050 |
| Family | $6,150 | $7,150 |
High Deductible Health Plan Requirements| Tax Year | HDHP Coverage | Minimum Deductible | Out-of-Pocket Expense Limit |
|---|
| 2010 | Self-Only | $1,200 | $5,950 |
| Family | $2,400 | $11,900 |
| 2011 | Self-Only | $1,200 | $5,950 |
| Family | $2,400 | $11,900 |
Using your HSA
You can use the money in the account to pay for any "qualified medical expense" permitted under federal tax law. This includes most medical care and services like dental, vision care and even over-the-counter drugs, such as aspirin.
You can use the money in the account for yourself, your spouse or your dependent children. You also can pay for the expenses incurred by your spouse and dependent children, even if they are not covered by your HDHP.
HSA Restrictions
HSA funds used for nonqualified medical expenses will be assessed a 10 percent tax penalty and also will be taxed as regular income.
Funds withdrawn after age 65 (or if you become disabled) are exempt from the 10 percent tax penalty. However, the funds still will be subject to income taxes if the funds are used for nonqualified medical expenses.
Your Health Savings Account at American National Bank
Initial Application Fee - $25
Minimum Balance - If a minimum daily balance of $1,000 is not maintained, there is a $1.50 service charge each statement cycle.
Transaction Fee - Five free transactions are permitted each statement cycle; $.50 per transaction thereafter.
Interest - Interest is credited on a monthly basis using a tiered rate, depending on the balance maintained in the account. Click here for current rate sheet.
Access to Funds - A free VISA Check Card is available upon request. Personal checks are available for $5.50 per box of 150.
Ready to Apply? - click here to contact a personal banker!
