North Carolina Health Savings Account (HSA) From ALLCHOICE Insurance
North Carolina Health Savings Account: North Carolina Health Insurance Agents From ALLCHOICE Can Tailor A Health Savings Account To Meet Your Needs | Serving All Of North Carolina
NORTH CAROLINA HSA - WHAT IS A HEALTH SAVINGS ACCOUNT (HSA)?
NORTH CAROLINA HSA - WHO CAN HAVE A HEALTH SAVINGS ACCOUNT (HSA)?
NORTH CAROLINA HSA - HIGH DEDUCTIBLE HEALTH PLANS (HDHPs)
NORTH CAROLINA HSA - TAX ADVANTAGED CONTRIBUTION LIMITS
NORTH CAROLINA HSA - HEALTH SAVINGS ACCOUNT (HSA) ADVANTAGES
Are your North Health Insurance Premiums getting out of control? Would you like to significantly lower your Health Insurance Premiums? If so, a North Carolina Health Savings Account combined with a High Deductible Health Plan (HDHPs) is worth looking into.
NORTH CAROLINA HSA - WHAT IS A HEALTH SAVINGS ACCOUNT (HSA)?
Many people assume that a Health Savings Account (HSA) is a Health Insurance Plan. In fact, there are actually two components to a "Health Savings Account (HSA)". The actual "Health Savings Account" is an account that you can put money into to save for future medical expenses. There are certain advantages to putting money into these accounts, including favorable tax treatment. Health Savings Accounts (HSAs) were signed into law on December 8th, 2003. The second component to the "Health Savings Account" is a qualified High Deductible Health Plan (HDHP).
NORTH CAROLINA HSA - WHO CAN HAVE A HEALTH SAVINGS ACCOUNT (HSA)?
Any adult can contribute to a Health Savings Account (HSA) if they meet the following:
- Have Health Insurance Coverage under an HSA-Qualified High Deductible Health Plan (HDHP)
- Have no other first-dollar medical coverage
- Are not enrolled in Medicare
- Cannont be claimed as a dependent on someone else's tax return
NORTH CAROLINA HSA - HIGH DEDUCTIBLE HEALTH PLANS (HDHPs)
A High Deductible Health Plan (HDHP) is Health Insurance that does not cover first dollar medical expenses. Federal Law requires that the health insurance deductible be at least:
| YEAR | INDIVIDUAL | FAMILY |
| 2009 | $1,150 | $2,300 |
| 2010 | $1,200 | $2,400 |
In addition, annual out-of-pocket expenses under the plan (including deductible, co-pays, and co-insurance) cannot exceed:
| YEAR | INDIVIDUAL | FAMILY |
| 2009 | $5,800 | $11,600 |
| 2009 | $5,950 | $11,900 |
Generally, the deductible must apply to all medical expenses (including prescriptions) covered by the plan. However, plans can pay for "preventitive care" services on a fisrt dollar basis (with or without co-pay). "Preventitive Care" can include routine pre-natal and well-child care, child and adult immunizations, annual physicals, mammograms, pap smears, etc.
NORTH CAROLINA HSA - TAX ADVANTAGED CONTRIBUTION LIMITS
You can (but are not required to) make contributions to your HSA each year that you are eligible. The Health Savings Account (HSA) Contribution Limits are as follows
| YEAR | INDIVIDUAL | FAMILY |
| 2009 | $3,000 | $5,950 |
| 2010 | $3,050 | $6,150 |
NORTH CAROLINA HSA - HEALTH SAVINGS ACCOUNT (HSA) ADVANTAGES
So, why should you consider a Health Savings Account and High Deductible Health Plan (HDHP) versus a Co-Pay Health Insurance Plan?
SECURITY
Your High Deductible Insurance and Health Savings Account (HSA) protect you against high or unexpected medical bills.
AFFORDABILITY
You should be able to lower your health insurance premiums by switching to health insurance coverage with a higher deductible.
FLEXIBILITY
You can use the funds in you account to pay for medical expenses, including expenses that your insurance may not cover, or save the money in your account for future needs such as:
- Health Insurance or Medical Expenses if unemployed
- Medical Expenses after retirement (before Medicare)
- Out-Of-pocket expenses when covered by Medicare
- Long-Term Care Expenses and Insurance
SAVINGS
You can save the money in your account for future medical expenses and grow your account through investment earnings.
CONTROL
You make all the decisions about:
- How much money to put into the account
- Whether to save the account for future expenses or pay current medical expenses
- Which medical expenses to pay from the account
- Which company will hold the account
- Whether to invest any money in the account
- Which investments to make
PORTABILITY
Accounts are completely portable, meaning you can keep your Health Savings Account (HSA) even if you:
- Change jobs
- Change your medical coverage
- Become unemployed
- Move to another state
- Change your marital status
OWNERSHIP
Funds remain in the account from year to year, just like an Individual Retirement Account (IRA). There are NO "US IT OR LOSE IT" rules for Health Savings Accounts (HSAs).
TAX SAVINGS
Health Savings Accounts (HSAs) provide TRIPLE TAX SAVINGS
- Tax Deductions when you contribute to your account;
- Tax-Free earnings through investment; and,
- Tax-Free withdrawls for qualified medical expenses
