A Health Savings Account (HSA) is a tax-advantaged checking account that gives you the ability to save for future medical expenses or pay current ones. It is individually owned; however, you can elect to designate an authorized signer who may also withdraw funds and be issued a debit card.
To be eligible for a Health Savings Account, an individual must be covered by a High Deductible Health Plan (HDHP), must not be covered by other non-HDHP health insurance (does not apply to specific injury insurance and accident, disability, dental care, vision care or long-term care), must not be enrolled in Medicare and can’t be claimed as a dependent on someone else’s tax return.
A High Deductible Health Plan is a type of health insurance plan. To be considered an HDHP, a plan must meet certain IRS guidelines for minimum deductibles and maximum out of pocket expenses.
To be eligible for a Health Savings Account, an individual must be covered by an HDHP. An HSA-qualified HDHP can have first dollar coverage (no deductible) for preventative care and higher out-of-pocket (co-pays and coinsurance) for non-network services.
Visit our HSA Guidelines page for more details about IRS limits on deductibles and out-of pocket maximums. These limits typically change each year.
A Health Savings Account offers many advantages, including:
Portability. You can take 100% of the deposited funds with you when you retire or change employers. You are the account owner.
Flexibility. You can choose whether to spend the money on current medical expenses, or you can save your money for future use. Unused funds remain in the account from year to year and there is no “use it or lose it” provision.
Tax Savings. Contributions are tax free (pre-tax through payroll deductions or tax deductible). Earnings are tax free. Funds withdrawn for eligible medical expenses are tax free.
Premium Savings. An HSA-qualified insurance plan tends to be less expensive than a traditional insurance plan.
As long as you are covered by a High Deductible Health Plan (HDHP), you can open an HSA wherever you choose. View our HSA Education & Enrollment packet for more information.
Contributions to an HSA can be made by either you or your employer, or both.
You may contribute through payroll withholding on a pre-tax or post-tax basis.
Your employer can contribute, which is excluded from your income and not taxable to you
You can also make after-tax contributions directly to your HSA and deduct this amount (subject to maximum annual contribution limits) from your taxes at filing time.
The maximum annual contribution is based on IRS limits and typically changes annually. Individuals age 55 and over may also contribute a catch-up contribution, which is also indexed annually. See HSA Federal Guidelines for current year limits.
You can make current year deposits to your HSA at our banking centers, by mail, through our Mobile Banking App, or with a transfer in Online Banking. For reference, our routing number is 086300012.
Deposits intended for the prior year cannot be made through Online Banking or the Mobile Banking App. Prior year deposits must be made at a banking center or by mail.
Our mailing address is:
The HSA Authority
ATTN: Processing Center
PO Box 3606
Evansville, IN 47735
Yes. Unused funds remain in the account from year to year and there is no “use it or lose it” provision. If you do not have to use your HSA funds for current
medical expenses, you can save it for future
use.
Once you’ve saved $1,000 in your HSA, you can also establish an investment account using your HSA contributions, with a variety of mutual funds to choose from. Visit our Investment Services page to learn more about this option.
Yes. Once you’ve saved $1,000 in your HSA, you can also establish an investment account using your HSA contributions, with a variety of mutual funds to choose from. Visit our Investment Services page to learn more about this option.
Since there is no “use it or lose it” provision, unused funds in an HSA remain in the account from year to year. So an HSA can be an ideal way to have money set aside for medical expenses today, yet invest and grow that money for future use if you don't need it for current medical expenses.
If you have questions about investing HSA funds, contact us at 1-888-472-8697.
A list of allowable expenses can be found on our Eligible Expenses page. For a full list of IRS-qualified medical expenses, please see IRS Publication 502.
In general, you can use your tax-advantaged HSA dollars on medical, dental (including braces for your children) and vision expenses, chiropractic visits, and even acupuncture, but not on your insurance premium, unless you are unemployed and are collecting Federal unemployment benefits.
We also offer Old National HSA account holders access to The HSA Store. Since only HSA-qualified products are sold on this online site, you can be sure that your purchase complies with IRS regulations.
If you have questions about eligible HSA expenses, contact us at 1-888-472-8697.
Yes, you can spend money out of your Health Savings Account for non-medical expenses; however, you will pay income tax and a 20 percent penalty for a non-medical withdrawal prior to age 65.
For a full list of IRS-qualified medical expenses, please see IRS Publication 502. If you have questions about eligible HSA expenses, contact us at 1-888-472-8697.
With Old National Bank as trustee, HSA account holders at Old National have complete control over their funds. Other trustees may impose limits on accessibility.
Only you can determine if a Health Savings Account with a High Deductible Health Plan is right for you. However, an HSA does offer many advantages, including:
Portability. You can take 100% of the deposited funds with you when you retire or change employers. You are the account owner.
Flexibility. You can choose whether to spend the money on current medical expenses, or you can save your money for future use. Unused funds remain in the account from year to year and there is no “use it or lose it” provision.
Tax Savings. Contributions are tax free (pre-tax through payroll deductions or tax deductible). Earnings are tax free. Funds withdrawn for eligible medical expenses are tax free.
Premium Savings. An HSA-qualified insurance plan tends to be less expensive than a traditional insurance plan.
