Health Savings Accounts (HSA)

The health savings account (HSA) is a great way to help pay for eligible health care expenses when you’re enrolled in a qualified high-deductible health plan (HDHP). HSAs work well with HDHPs because they provide you with a way to set aside tax-free money to pay eligible out-of-pocket health care costs before your HDHP deductible is met.

How Do I Contribute?

• First, you must be enrolled in the BCBSIL High-Deductible Health Plan (HDHP) through Locke Lord. You cannot be enrolled in the HSA if you are also covered as a dependent in your spouse’s non-HDHP medical plan or enrolled in Medicare Part A or B.
• You decide how much you want to contribute to the HSA, up to the limits set by the IRS. For 2024, if you are enrolled in Employee Only coverage, you can contribute up to $4,150. If you are enrolled as Employee +1 or Employee + Family, you can contribute up to $8,300.
• If you are age 55 or over, or attaining age 55 by 12/31/2024, you can also contribute an additional $1,000 “catch-up” contribution to your HSA.

Pay For Approved Medical Expenses – Tax-Free!

You can use your HSA to pay for a wide variety of eligible health care expenses ranging from office visits, to dental and vision expenses to prescriptions. For a list of eligible expenses visit HSA Qualified Medical Expenses

It’s Your Money

• You chose how much money to set aside for any future approved medical expenses.
• Your contributions go into an FDIC-insured, interest earning HSA bank account.
• You can choose to invest in a variety of mutual fund options. If you need to spend money that you’ve invested in a mutual fund, simply sell some of your shares and move the money into the HSA interest earning bank account.
• Money you don’t spend rolls over from year to year, there is no use-it-or-lose-it requirement like a Flexible Spending Account (FSA). So if you change jobs, switch to a non-HDHP, or even retire, your HSA is still yours to keep.

Easy To Use
With HSA Bank, our HSA vendor, you will have fast, easy access to your HSA savings.

• Pay for approved medical expenses using the HSA Bank Health Care Card; it works just like a credit card anywhere a credit card is accepted. No need to submit and mail receipts!
• Make a direct payment online to your provider to pay your medical bills.
• Reimburse yourself directly from your HSA for expenses you paid for with cash, check, or your personal credit card. The reimbursement can be direct deposited to your savings or checking account or a check will be sent directly to you.