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Archive for the ‘FAQ’ Category

HSA Contribution Limits for 2010


Posted on May 26th, 2009 by WPJ

The maximum contributions that can be made to health savings accounts in 2010 will increase as will the minimum deductible imposed by health insurance plans linked to HSAs and the maximum out-of-pocket expenses that employees can be required to pay.
The maximum contribution that can be made to an HSA in 2010 for employees with single [...]

What are the keys to successful implementation of an HSA in the workplace?


Posted on June 18th, 2008 by WPJ

The attractiveness of a High deductible Health Plan (HDHP) is dependent upon three factors:

The difference between the employee contribution to the premium of HDHP vs. the traditional plan being offered. The greater the difference, the more the employee has to put into their HSA.
The employer contribution to the HSA. If #1 above is sufficient, [...]

Can I pay Long Term Care premiums with my HSA?


Posted on June 11th, 2008 by WPJ

You may use your HSA for long term care premiums provided your policy meets certain requirements and you stay within the allowable premium expenditure limits.In order to spend money from your HSA on long-term care, your long-term care insurance contract must:

Be guaranteed renewable;
Not provide for a cash surrender value or other money that can be [...]

I am getting a divorce; can I transfer part of my HSA to my spouse?


Posted on June 11th, 2008 by WPJ

HSAs are the property of only one tax payer. IRS regulations do not permit transfers from one taxpayer to another under normal circumstances. Publication 504 does address the issue of HSA transfer (full or patial) in divorce situations.  The IRS guidelines described below require legal documentation (an “instrument”) for a custodian to move money from one [...]

If I elect the HDHP mid-year, can I still contribute the maximum HSA annual contribution?


Posted on June 11th, 2008 by WPJ

Normally, you are permitted to contribute 1/12th of your annual maximum for each FULL month you are covered by the HDHP.  For example if you have single coverage and are covered for 6 of 12 months in the TAX year, you may contribute 6/12ths of the annual maximum of $2900 (in 2008) or $1,450. Some [...]