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A Health Savings Account Can Help You Prepare for Medical Expenses
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Mary Clark, Chairman of the Board at Masterclock, offers HSAs to her employees to help them prepare for medical expenses.
Americans spent $3.5 trillion on healthcare—$10,739 per person—in 2017, according to West Health-Gallup’s U.S. Healthcare Cost Crisis report. Unfortunately, these costs are expected to increase. What can you do to prepare for medical expenses? Opening a First State Bank Health Savings Account (HSA) can help.
An HSA is a tax-deferred savings account created for the purpose of paying medical expenses. It can be a great choice for those who participate in a High-Deductible Health Plan (HDHP). While many are reviewing health insurance options during the current open enrollment period, it’s a perfect time to consider an HSA.
First State Bank HSAs are:
- Tax-favored
- Contributions are 100% deductible up to the legal limit
- Withdrawals for qualified medical expenses are tax-free
- Interest earnings are tax-deferred (and, if used for qualified medical expenses, they are tax-free)
- Convenient – A debit card provides hassle-free purchases and free online banking and electronic statements allow you to check your account balance 24/7.
- Flexible – Your account balance carries over year to year and remains with you regardless of change in coverage or employment.
Even Buddy, Mary Clark’s dog, knows HSAs can help you take a bite out of medical expenses.
“First State Bank is one of the few banks to offer HSAs,” says Mary Clark, Chairman of the Board at St. Charles-based Masterclock, Inc., a leading designer, manufacturer, and supplier of precise timing systems to the world’s most time-sensitive organizations, including Kennedy Space Center and FIFA World Cup. “With the rising cost of medical insurance, employers almost have to offer employees an HSA to fill the gap.”
For more information about how a First State Bank HSA can help you or how you can offer HSAs to your employees, call 636.940.5555 or visit a banking center.
