How an HSA plan works - in 3 easy steps

Become insured under a high deductible health insurance policy that is properly qualified to work in conjunction with an HSA account. Your monthly premiums will be much lower due to the design of the policy and the higher deductible. CAUTION: Not just any "high deductible" policy will suffice. The policy must meet specific guidelines established by the IRS (see link entitled "HSA guidelines" for more details. To learn how expensive copay plans really are, see my White Paper Report entitled "How Much Does a $20 copay Really Cost?."

After your HSA-qualified policy is in place, you are then eligible to establish the actual savings account at any qualified financial institution. This is similar to opening an IRA. The account is maintained with a bank or investment firm. Choose from normal savings, or invest in stocks, bonds, mutual funds if you prefer. Relatively few financial institutions offer HSA accounts, for a variety of reasons. Our agency will refer you to several large, reputable financial institutions once your policy is in place.

Begin using the savings account. There is no minimum contribution required; however, just like an IRA, there is an annual maximum. (see "guidelines" link) Be sure not to contribute more than the maximum amount allowable each year; otherwise, a tax penalty will apply. When you incur medical expenses, simply use a Visa debit card or write a check to tap into the account. Withdrawals for qualified expenses are tax-free. Read the bonus Report for more benefits of an HSA.

The Real First Step:

The key to knowing whether an HSA will actually work for you and your family is to know the monthly premium cost on the qualified high deductible health plan. Therefore, the real first step in establishing a health savings account is to secure quotes for the HSA-qualified high deductible plan. Before you leave the site, we welcome you to click the button to "get quotes" for HSA eligible coverage. No other agency offers more options or lower rates. Guaranteed.

Bonus Report:

Click the link to get a copy of my free Bonus Report: Benefits of owning an HSA plan