| Making sure that your family is able to stay healthy | | | | The new HSA's have an extra real nice feature |
| partly depends on having a good health insurance | | | | – they cover more. Some things that you may |
| program for them. One of the more recent new | | | | not have been covered for under another type of |
| additions to the health insurance industry is called the | | | | policy, you may find that you are covered for with an |
| Health Savings Account (HSA). This new program | | | | HSA. This could actually allow you to get a better |
| enables you to have reduced insurance rates because | | | | coverage for less. Things like dental coverage, therapy, |
| of a higher deductible, and a tax deferred savings | | | | even non-prescription medicines and some alternative |
| program with it. Here are some of the features of this | | | | treatments may also be covered, and even some |
| program. | | | | mental illness treatments, too. |
| Reduced Rates | | | | You Keep Control |
| By getting a health insurance program with a high | | | | Under an HSA, you are the one in control of the |
| deductible, you are able to greatly reduce your monthly | | | | money. It is yours to use. You can take money out of |
| premiums. This is an especially good way to go, if you | | | | the account when you want, but only the money that |
| are younger and currently have pretty good health. | | | | is used only for medical purposes is tax-exempt. |
| The deductible amounts are pre-determined by the | | | | Generally, you will be given a card, like a credit card, |
| government, and you are required to have deductible | | | | that gives you access to the account. Whenever you |
| amounts between $1,050 and $5,250 for singles, and it | | | | use money from the account, the insurance company |
| needs to be between $2,100 and $10,500 for families. | | | | automatically gets a receipt, and it is subtracted from |
| Savings Are Tax Exempt | | | | your account, and your deductible – and it |
| One of the great benefits of this type of plan is that, | | | | remains tax exempt. |
| like an IRA, you enjoy tax-free income, and interest on | | | | Like any other insurance policy, once you have paid |
| the amounts you have in the program. You can put | | | | the deductible amounts, the rest is up to the insurer to |
| into the plan money that comes off the top of your | | | | pay. By having the high deductible you reduce the |
| taxes. There are limits, though, and for singles it is up to | | | | premiums considerably. The savings account can also |
| $2,700, and for families it is $5,450. A little extra benefit | | | | provide a good hedge for your medical insurance |
| is that you are able to take off of your taxes any | | | | program for the future, too, because any money not |
| money that is deposited into the account all the way | | | | used toward the deductible remains your money - to |
| up to April 15th. So, if you are coming up to tax time, | | | | use next year, if you need it. On the other hand, the |
| and find you need to reduce your taxes some more, | | | | money in your HSA might also be used to provide |
| you can put it into your HSA, and find the tax break | | | | some money for retirement – assuming you |
| you need. | | | | maintain your good health. |
| Better Coverage | | | | |