Health Savings Account

An HSA is an attractive benefit option increasingly expected by employees. You have the option to make tax-free contributions to employee accounts. Employee contributions to their own accounts through payroll deduction reduce your taxes.^*

• Employer contributions are tax free
• Employee contributions through payroll deduction reduce employer taxes

Because HSAs must be linked to a high-deductible health plan (HDHP), employers who offer HSAs in combination with a health plan save on premium costs. Because HDHPs put spending control in the hands of employees, over time you may see reduced utilization costs.

• Reduced health plan premium costs
• Control over health care utilization costs

The following services are offered through SHDR, a division of BB&T:

• Plan design and account set-up
• Electronic enrollment and payroll deduction
• Benefits communication, including participant video
• Reimbursement administration
• Online account management

Note: Maximum annual contribution limits apply.

An HSA allows employees to pay for qualified out-of-pocket health care expenses^** tax free. Because year-end balances roll over and accrue interest, the account also allows participants to save for future expenses. When the balance reaches a designated total, participants may invest excess funds in qualified mutual funds.^†

• Contributions are tax free
• Withdrawals for eligible health care costs are tax free
• Year-end balance rolls over and savings accrues interest tax free
• Excess balance can be easily invested using an investment sweep subaccount
• Benefit Access Visa^® Debit Card allows easy access to funds
• Account is portable if employee changes jobs or retires
• Online account management

Because an HSA must be linked to an HDHP, employees who contribute to their health care premiums will pay a reduced cost for their benefits.

Note: Maximum annual contribution limits apply.

An HSA must be linked to an IRS-qualified HDHP, which generally includes these features:

• Deductible of at least $1,250 for individual coverage or $2,500 for family coverage^‡
• Annual out-of-pocket expenses (including deductibles and copays) not exceeding $6,250 for individuals or $12,500 for families^‡

The mutual funds investment sweep option† is available when an account balance reaches $3,000.^‡

Contribution Limits

The 2013 maximum contribution limits are as follows:

• For single coverage, annual contribution limit of $3,250
• For family coverage, annual contribution limit of $6,450

Plans sponsors and participants have 24/7 access to account information and educational material online.

Sponsor Access

• Enroll new participants
• Update employee addresses and other personal information
• View consolidated accounts
• Generate reports
• Find answers to common employee questions

Participant Access

• Check balance and personal information
• Pay medical expenses online
• Review lists of eligible expenses
• Use tools and calculators
• Get answers to common questions