Health Savings Account

Take greater control of your health care expenses with an HSA from Alden State Bank. This account enables you to save for future medical expenses on a tax-free basis.


Best of all, the plan is entirely yours. There's no "use it or lose it" rule; the funds keep growing and are never tied to any specific employer. Be prepared when a medical need arises; start an HSA today.

Summary
  • No setup or application fees
  • Contributions are tax deductible*
  • Tax-free earnings*
  • Tax-free withdrawals for qualified medical expenses*
  • Only $1 minimum deposit to open account
  • Earns interest daily on entire balance above $1
  • $2.50 monthly service fee if average daily balance is less than $1,500
  • Use funds by debit card, check, online transfer, or in-person withdrawal**
  • Free online banking
  • Free eStatements available; $1 monthly fee to receive paper statements
  • Family and individual plans offered***
  • Funds are yours; not tied to employer plan
  • FDIC insured

*Consult with a tax advisor.

**First two MasterCard® HSA debit cards are free; first 50 paper checks are free.

***For 2013, the maximum amount you can contribute to an HSA is $3,250 for a single plan or $6,450 for a family plan. There is no minimum contribution; you have no obligation to fund your HSA after it is established.

Eligibility

Any adult can have an HSA if they:

  • Have coverage under an HSA-qualified high-deductible health plan (HDHP)
  • Have no other first-dollar medical coverage (other types of insurance ARE permitted, such as specific injury insurance or accident, disability, dental care, vision care, or long-term care insurance)
  • Are not enrolled in Medicare
  • Cannot be claimed as a dependent on someone else's tax return.

What Is a "High Deductible Health Plan" (HDHP)?

You must have coverage under an HSA-qualified HDHP to open an HSA. An HDHP is a health insurance plan that does not cover first dollar health care expenses (i.e., your "deductible") but will generally cover you after that. An HDHP generally costs less than what traditional health care coverage costs, so the money that you save on insurance can therefore be put into the Health Savings Account.