The Miramar
Group is excited to offer you all
the tools you need to offer HSA's to your Clients!
The new
Medicare law created an excellent tax break for Americans
under age 65 who buy health insurance. These people
can now purchase a health plan with a moderate, or even
higher, deductible and set up a tax-deductible health
savings account (HSA) to use to pay the out-of-pocket
medical expenses. The HSAs replace and greatly expand
on the MSAs previously offered.
The HSA funds can be used to pay out-of-pocket
medical expenses ranging from hospital/doctor bills
to dental expenses to future nursing home costs…
or even eyeglasses, all with tax-free dollars. Better
than flexible spending accounts, these HSA funds can
be rolled over from year to year and if not used for
medical expense can be used for retirement income.
Health Reform Bill Has Little
Impact on HSAs
The passage of HR 3590 will have little
impact on Health Savings Accounts (HSAs), but here are
two changes to be aware of:
Effective January 1, 2011, tax
free HSA dollars may no longer be used to purchase
over-the-counter drugs not prescribed by a doctor.
Effective January 1, 2011, the
tax on HSA distributions that are not used for qualified
medical expenses will increase to 20% from 10%.
Change in Minimum
Deductible Amounts for HSA-Compatible HDHPs
for 2010
