Health Savings Accounts (HSA) Explained – 1
A health savings account or HSA is an innovative approach to health insurance that was signed into law in December of 2003. In North Carolina an HSA is a tax-favored savings account that is used in conjunction with a high-deductible HSA-compatible health insurance plan.
With an HSA you are in control of your money – not your employer. You are able to use the money to invest in stocks, bonds and mutual funds.
North Carolina residents can pay for qualified medical expenses with pre-tax dollars and save for retirement on a tax-deferred basis.
An HSA enables participants to pay for their individual or family medical expenses all while contributing to retirement savings.
There are several advantages to a Health Savings Account. All HSA contributions are 100% tax deductible and the contributions accrue interest on a tax-free basis.
At Carolina Insurance Professionals we are committed to finding the best insurance options for your needs. To find out more about a Health Savings Account, contact us today!