Health Savings Accounts (HSA)

A Health Savings Account (HSA) is a tax-advantaged savings account that individuals can use to pay for qualified medical expenses. It is designed to work alongside a high-deductible health plan (HDHP) and offers three major tax benefits: Tax-deductible contributions – Money you put into the account reduces your taxable income; Tax-free growth – Any interest or investment earnings inside the HSA grow without being taxed; and Tax-free withdrawals – Funds used for qualified medical expenses are not taxed when withdrawn.