How you can save

• Contributions to your account may be tax-deductible on your federal income tax return, and on your state income tax return. (Consult with your personal tax advisors.)
• You can pay for qualified medical expenses with tax-free withdrawals.
• Your employer may offer a payroll deduction option to help you make contributions on a tax-free basis through your employer’s cafeteria plan. In addition, your employer may also decide to contribute.
• Unlike Flexible Spending Accounts, your HSA has no “use it or lose it” requirement and stays with you if you change jobs or retire.

How you can use your savings

Items covered by the health plan but subject to cost sharing such as:

• Deductible and coinsurance, or co-payments.
• Dental, vision and chiropractic care, laser eye surgery.
• Durable medical equipment such as eyeglasses, contact lenses, and hearing aids.
• Transportation expenses related to medical care.
• Prescriptions and some over-the-counter non-prescription medicines.
• Standard medical services such as office visits and annual medical physicals.
• Preventive and restorative dental care, as well as orthodontia for children and adults.