Health Savings (HSA)
Individuals and families with a High Deductible Health Plan (HDHP) can take advantage of a Health Savings Account to save for their medical expenses—tax free—with ABC Bank.
Why You Should have a Health Savings Account
If you have a High Deductible Health Plan, saving money for medical costs in your HSA can make a lot of sense. Here are just a few reasons why:
- Tax Benefits: Your contributions to your HSA are not only tax-deductible, but the money in your account grows tax-free.
- Flexibility: HSAs allow you to pay for a wide range of qualified medical expenses, not just out-of-pocket healthcare costs—from doctor and dentist visits and prescriptions to over-the-counter medicines and first aid supplies.
- Long-Term Savings: Your unused HSA funds will roll over year after year, making it a great tool for saving for future healthcare costs or even a bonus retirement savings account.
How it Works
HSAs can be used to help reduce and manage your healthcare costs by allowing you to set aside money for your out-of-pocket costs and deduct medical expenses from your taxes—even if you don’t itemize.
- Add money to your account: grow your HSA savings with regular deposits or transfers from other ABC bank accounts.
- Keep your balance above $1,000 to earn interest and avoid monthly fees.
- Use your HSA debit card to cover medical-related purchases and bill—in person or online—or submit a reimbursement request through our portal.
- In January, we’ll send you IRS Form 1099-SA so you can deduct your contributions easily at tax time.
The Details
Minimum Opening Deposit: $.01
Monthly Service Charges: $2 for accounts with balances below $1,000
Transaction Limit: None
Debit Card: Yes
Minimum Balance Required to Earn Interest: $1,000
Take Control of Your Healthcare Savings with an HSA
An HSA (Health Savings Account) at ABC Bank allows you to save for medical expenses while enjoying tax advantages. With flexible contributions and easy access to your funds, an HSA helps you take control of your healthcare costs and plan for the future.
Have questions about an account or need help choosing one? Head to your nearest Texas ABC Branch in Addison, Austin, Lubbock, Wolfforth or one of our Colorado branches in Pueblo and Colorado Springs. You can also call us at 1-888-902-2552.
