What is a Medical Savings Account or “MSA”?
An MSA is an account held in trust for the account holder. The employer or the employee makes annual tax-free contributions to the account that must be maintained in conjunction with a high deductible health insurance policy. The employee can draw on the account to pay for qualified medical expenses not covered by their health insurance policy or leave the funds to accumulate on a tax-free basis. • Who is eligible? Employees of small employers (2-50 employees) who are covered by employer-sponsored high deductible plans, and are not covered by other health plans (with some exceptions), are eligible. • As a New Jersey self-employed individual, how can I find out more about MSAs? If you are interested in establishing an MSA account as a self-employed individual for you and your family, please call (800) 838-0935 for a copy of the Individual Health Coverage Program Buyers Guide and rate sheet. The rate sheet will include an up-to-date listing of all carriers offering high deductible plan o
