In a nutshell, a Health Savings Account (HSA) is a savings account that lets you pay for eligible medical, dental, vision and pharmacy expenses with tax-free dollars. That’s great, but there are six more ways that make the HSA even better:

  1. Hitachi Vantara gives you a lot of money for your HSA—up to $2,500, depending on the plan you choose and whom you cover.
  2. You own your HSA, so the money is yours to keep even if you change jobs or retire.
  3. There’s no use-it-or-lose-it rule, so you don’t have to spend the money when you don’t need to. Your balance rolls over each year and keeps growing.
  4. You have three ways to save on taxes: tax-free contributions, tax-free earnings on interest and investments and tax-free withdrawals to pay for healthcare.
  5. The account is flexible, so you can spend your HSA now on current health expenses, down the road if you leave Hitachi Vantara or even later after you retire. You also can reimburse yourself for eligible expenses—even ones that are years old—to get a bigger payout later.
  6. Once your account reaches $1,000 for WageWorks/Kaiser and $2,000 for Optum Bank/UHC, you can invest the funds so your account has a chance to grow larger, faster. (You do need to keep account minimums to invest). If your account is with WageWorks/Kaiser, take a look at their HSA Investment Guide. If your account is with Optum Bank/UHC, check out the Optum HSA investing tip sheet or consider getting automated online advice through Betterment, the largest independent online financial advisor.

Are you leaving free money on the table? Find out!

 

Take a look at all the ways you win with an HSA, or watch a recording of our HSA webinar.

If you prefer watching videos, click play on our HSA video below.

How Does the HSA Work?

Am I Eligible?

First, make sure you're eligible for medical coverage through Hitachi Vantara. The HSA is only available with the UHC Consumer HSA or Kaiser HSA.

Then, several rules apply. You are not eligible for the HSA if you:

  • Are enrolled in any form of Medicare, including Parts A, B or D.
  • Are covered by another healthcare plan that’s not a high-deductible health plan.
  • Can be claimed as a dependent on someone else’s tax return.
  • Are covered by veterans’ benefits and have used Veterans Affairs medical services within the past three months.
  • Are enrolled or covered by a Health Care Flexible Spending Account (HCFSA) or Health Reimbursement Account (HRA), including one through your spouse’s/domestic partner’s employer.

How Do I Enroll?

When you enroll in the UHC Consumer HSA Plan, you must set up your HSA with Optum Bank.

When you enroll in the Kaiser HSA, accept the “terms and conditions.” This will allow WageWorks, our HSA administrator, to open your HSA with Health Equity.

Most of the time, you can use your HSA right away! Sometimes, though, you may have to submit some paperwork first. Your account will be ready to use as soon as the required paperwork is received.

How Much Will Hitachi Vantara Contribute?

2020 Hitachi Vantara HSA Contributions

  Employee Only One or More Dependents
UHC Core HSA $750 $1,500
UHC Plus HSA
(formerly UHC Consumer HSA)
$1,250 $2,500
Kaiser HSA $1,000 $2,000

*Hitachi Vantara contributions to your HSA are made twice a year; once in January, and once in July.

How Much Can I Contribute?

Just like an FSA, the IRS limits how much you can contribute to your HSA—this year, those limits are $3,550 for employees only and $7,100 for employees covering one or more family members.

The amount you may contribute to your HSA depends on which plan you are enrolled in and whether you’re covering dependents.

2020 Employee Contribution Limits

  Employee Only One or More Dependents
UHC Core HSA $2,800 $5,600
UHC Plus HSA
(formerly UHC Consumer HSA)
$2,300 $4,600
Kaiser HSA $2,550 $5,100

If you’re age 55 or older, the IRS allows you to contribute an extra $1,000 above the amount shown in the table above. This amount, called a “catch-up contribution,” is for employees only. If you cover a spouse who is age 55 or older, he/she can open an HSA outside of Hitachi Vantara and deposit an additional $1,000 into that account.

Can I Change My Contribution Amount?

Yes, you can change your contribution amount at any time by calling Hitachi Vantara Benefits Direct. Changes will take effect within 1-2 pay periods.

Whose Expenses Can I Pay with My Account?

Yours, your spouse’s, your children’s (under the age of 24 and if they’re also a tax dependent) and any other dependents that meet the IRS definition of a tax dependent.

How to Use Your HSA

You have four ways to pay for eligible expenses using your HSA.