Health Savings Account (HSA)
A Health Savings Account (HSA) is a tax-advantaged savings account designed to help you pay for qualified medical expenses. By pairing an HSA with an eligible health plan, you can save for today's healthcare needs and prepare for tomorrow's costs.
Benefits of an HSA:
- Tax Advantages: Contributions are tax-deductible, earnings grow tax-free, and qualified withdrawals are tax-free.
- Flexibility: Use your HSA to pay for a wide range of qualified healthcare expenses.
- Portability: Your HSA is yours to keep, even if you change jobs, retire, or switch health insurance plans.
- Long-Term Savings: Unused funds roll over year to year, allowing you to build savings for future medical needs.
Eligibility Requirements:
To open and contribute to an HSA in 2025, you must:
- Be covered under a high-deductible health plan (HDHP) with a deductible of at least $1,650 (individual) or $3,300 (family).
- Not be enrolled in Medicare.
- Not be claimed as a dependent on another person’s tax return.
Upcoming Change – Effective January 1, 2026: Under the recently passed One Big Beautiful Bill, certain Affordable Care Act (ACA) Marketplace bronze and catastrophic plans will be reclassified as qualifying health plans for HSAs. This change is expected to expand eligibility for millions of Americans.
If you are currently enrolled in or considering a bronze or catastrophic ACA plan, you may become eligible to contribute to an HSA beginning in 2026.
Congress may update HSA rules from time to time, including what types of health plans qualify. Please consult your insurance provider or a qualified tax professional to confirm your plan’s eligibility.
Contributions:
You, your employers and your family members may contribute to this account, and expenses may be paid via check, HSA debit card or cash.
- Individual Coverage: Up to $4,300 per year
- Family Coverage: Up to $8,550 per year
- Catch-Up Contribution: An additional $1,000 annually if age 55 or older
Contribution limits are set annually by the IRS and may change each year.
Opening an HSA with Security First Bank:
Our team is here to answer your questions and help you take advantage of the many benefits an HSA can offer. Please contact a Security First Bank customer service representative for more information or to open an account.
Account Features
- Earn Interest
- No monthly service fee
- No minimum balance required to maintain account
- Online and Telephone banking
- HSA checks and debit cards available
We recommend consulting with a tax or legal professional for guidance on tax implications as HSA accounts are subject to IRS requirements. The information on this page is not intended for tax or legal advice.
Making the Most Out of Your HSA:
Use our Health Savings Account Coach Session to help predict your out-of-pocket health care expenses and what you should contribute to your HSA.
Please note any link clicked on within the ‘Making the most out of your HSA or FSA Coach Session’, you are leaving security1stbank.com. This coach session is not indented as tax or legal advice. Although we provide this web link for your ease of access to information, we are not responsible for the overall content of sites not under our control, nor does our privacy policy extend to linked websites. As a reminder, email is not secure and confidential information should never be transmitted via email.
