GLOSSARY

A type of savings account that lets you set aside money on a pre-tax basis to pay for qualified medical expenses. By using untaxed dollars in a Health Savings Account (HSA) to pay for deductibles, copayments, coinsurance, and some other expenses, you can lower your overall health care costs.

An HSA can be used only if you have a High Deductible Health Plan (HDHP). The IRS limits what you can contribute to the HSA each year. HSA funds roll over year to year if you don’t spend them. An HSA may earn interest, which is not taxable.