HEALTH SAVINGS ACCOUNT
Our Health Savings Account empowers you to take control of your healthcare costs through convenient, pre-tax savings.
HSA Contributions
For those employees choosing a Health Savings Account (HSA) option, SIHO will make 4 quarterly payments of $150 totaling $600 into the employee’s HSA account. SIHO will also match $0.50 for every dollar an employee contributes up to the limit for the chosen plan (maximums specified below) in a qualified HSA for employees who choose the High-Deductible Health Plan (HDHP). These payments will be made only for those employees actively employed by SIHO at the time of the payment and for employees who are working 30 or more hours per week.
Payments of $150 will be issued according to the following schedule:
- January 16th
- April 24th
- July 17th
- October 23rd
Additional HSA Information
For those employees choosing a Health Savings Account (HSA) option, SIHO will make 4 quarterly payments of $150 totaling $600 into the employee’s HSA account. SIHO will also match $0.50 for every dollar an employee contributes up to the limit for the chosen plan (maximums specified below) in a qualified HSA for employees who choose the High-Deductible Health Plan (HDHP). These payments will be made only for those employees actively employed by SIHO at the time of the payment and for employees who are working 30 or more hours per week.
The family deductible of the $3,000 PPO plan and the $4,000 HSA plan both have an “embedded” deductible. This means for family deductibles, benefits will start for one family member after that same family member satisfies the individual portion of the family deductible. The IRS only allows “embedded” deductibles for family HSA plans whose individual deductibles satisfy the minimum family deductible as determined by the IRS.
Individuals who are 55 or older and covered under a high-deductible health plan are eligible for an additional $1,000 “catch-up” contribution for 2026.
HEALTH EQUITY BANKING INFORMATION
The bank account connected to the SIHO HSA Plans is through HealthEquity, Inc. If you’re enrolling in a SIHO HSA for the first time, shortly after you submit your enrollment form, you will receive instructions on how to setup your HealthEquity, Inc. HSA account.
HealthEquity, Inc. offers great banking benefits to SIHO Employees such as: • Online Receipt Storing • Online Banking and Bank to Bank Transfers
HSA ELIGIBILITY REQUIREMENTS
You are eligible to enroll in one of the SIHO Employee HSA Plans if you meet the following requirements:
- Have no other first-dollar medical coverage. This means you cannot be covered as secondary under a plan that is not a qualified High-deductible Plan.
- Are not enrolled in Medicare. Medicare eligible persons who do not enroll in Medicare may have an HSA if they are covered by a qualified High-deductible Health Plan.
- Cannot be claimed as a dependent on someone else’s tax return.
THE ADVANTAGES OF CHOOSING A SIHO HSA PLAN
An HSA is a bank account where tax-free deposits are made to pay for qualified medical expenses. Withdrawals from your HSA are also tax free as long as the funds are used for qualified medical expenses. There are many advantages to enrolling in a qualified High Deductible Health Plan and opening a HSA bank account. Your high-deductible insurance and HSA protect you against high or unexpected medical bills.
The Competitive Edge in Your Healthcare Expenses
- Your health insurance premiums are lower.
- SIHO pays 100% of covered preventive care services received in-network. You do not need to meet the deductible for covered preventive care services.
- You can use the funds in your account to pay for the following:
- Medical Expenses including expenses that are not covered under the SIHO Medical Plan (See IRS Publication 502).
- All options under IRS Publication 502
- Long-Term Care Insurance
- Dental and Vision expenses
- Medical expenses after retirement (before Medicare)
- Out-of-pocket expenses when covered by Medicare
- You can save the money in your account for future medical expenses and grow your account through investment earnings. HSA earnings grow tax-free.
- Your HSA is completely portable. Funds in your HSA belong to you and are always 100% vested. There are no “use it or lose” rules for HSAs.
- Unlike contributions into an HSA, an individual need not be covered by an HDHP to make withdrawals from the HSA. For example, an employee that is qualified to contribute to an HSA can use the funds to pay for medical expenses for a qualified dependent even if the dependent is not covered under an HDHP.
PAYING FOR MEDICAL EXPENSES
Some Tips to Keep in Mind
- When you receive services from a physician or hospital, present your SIHO Identification Card just as you would with a traditional plan. Use of the ID Card ensured that the claims will be submitted to SIHO and that a provider network discount will be taken. This saves money for you! Most providers will not require payment from you at the time of service; they will bill SIHO and wait for payment determination from SIHO before billing you.
- Qualified healthcare expenses may be paid with your HSA money, or you may pay out-of-pocket and continue to save in your HSA.
- Your HSA works like a checking account with withdrawals limited only by the account balance.
- After you open your HSA, you have the option to receive a HealthEquity, Inc. HSA Debit Card. This card can be used to pay for qualified expenses anywhere it is accepted. You may also setup bill-payer and pay your medical bills online with HealthEquity, Inc.
- Receipts of where you spend your HSA funds are required by the IRS. You do not need to submit a receipt to the bank to receive reimbursement. However, you need to keep the receipt for 7 years with your other tax reporting paperwork.
Click HSA Premiums and Contributions to see more details and estimated calculations of our health plan offerings.
