Who is eligible to contribute to an HSA?
• After you open your ACS/Mellon HSA, making contributions helps you build a balance to assist with current and future health care expenses. Anyone, including your employer or family members may contribute to your HSA. You can make contributions by payroll deductions (if available) or by after-tax contributions. Payroll deductions: If your employer offers the option, you may specify a regular contribution to be deducted from your paycheck. This contribution will be made before Social Security, federal, and most state income taxes are deducted. After-tax contributions: You may choose to make all or part of your annual account contributions to your HSA by making “after-tax” contributions to your account. These contributions, which you can make by writing a personal check, may be deducted on your income tax return, using IRS Form 1040 and Form 8889. Employers may make contributions to your account as well; while you do not take a deduction for these contributions, they are excluded from y
Employees who are enrolled in the High Deductible Health Plan (HDHP) are eligible to contribute to an HSA. The employee can not be enrolled in any other health plan coverage that provides medical benefits before the HDHP deductible is met, not claimed as dependent under someone else’s tax return, and not enrolled in Medicare.
Related Questions
- Are employers who contribute to an employee’s HSA responsible for determining whether the employee is an eligible individual and the employee’s maximum annual contribution limit?
- What happens if I become eligible to contribute to an HSA mid-year (not January 1st)? What is my maximum contribution?
- Can a person contribute to an HSA if he or she is eligible for Medicare Part A and B but is not enrolled?
