Powerco Credit Union is proud to be one of the few financial institutions in the country that offers a no monthly or annual service fee HSA account.
Our goal is to provide a low cost Heath Savings Account (HSA) option that is easy for our members to understand, saves them money, takes advantage of all the HSA-related tax benefits, and helps to manage the ever-increasing costs associated with health care.
Powerco Health Savings Account Features:
No monthly or annual account maintenance fees
Unlimited free debit card access
FREE monthly e-Statements ($2 monthly fee for U.S. mailed statements)
One time enrollment fee of $5.00
$0.50 fee for each check written on the account
$2 monthly dormancy fee (if no deposits or withdrawals for six months)
Low Interest Deductible Loan Now Available (for participating groups only)
What is an HSA?
Health Savings Accounts allow employees covered by High Deductible Health Plans (HDHP) to open pre-tax checking accounts to help pay for pre-qualified medical expenses. For more information, please click here.
How does an HSA work?
Powerco's HSAs are set up as a checking account. You'll receive a VISA debit card and a book of checks that will provide a method of payment for your qualified medical expenses. If you sign up for Web Express, you will have 24/7 access to your account on-line. You can also have your monthly statements sent to your email address free of charge if you sign up for e-Statements.
What are the benefits of an HSA? Although there are many advantages, the most pertinent to most health care consumers are as follows:
1. Triple tax benefits - there are three income tax-related benefits to HSAs:
Any money you put into your HSA can be set up as a tax free payroll deduction.
Any money in your HSA account grows tax-deferred (similar to an I.R.A.).
Unique to HSAs entirely, withdrawals are tax-free if used to cover qualified medical expenses.
2. No expiration - unlike flex spending accounts (FSAs), funds automatically roll over and accumulate year to year if not spent. There is no "use or lose it" with HSAs.
3. Ownership- HSA funds are yours, meaning you can keep your HSA even if you: change jobs, change medical coverage, become unemployed, move to another state, or change marital status.
What type of medical expenses can be used with HSA fund?
You can use the money in your account to pay for any "qualified medical expense" permitted under federal tax law. This includes most medical care and services, dental and vision care, and over-the-counter drugs like aspirin (*please note– beginning Jan 1, 2011, over the counter drugs will no longer be qualified). For a more complete listing of qualified medical expenses, click here.
How can I start an HSA?
In order to be eligible for an HSA, you must be covered by a HSA qualified High Deductible Health Plan (HDHP) and must not be covered by any other first dollar medical coverage. Contact your employer or a qualified health insurance professional, or Powerco Credit Union if you are unsure if you qualify for an HSA.
More Information on HSAs
You can also refer to the following government websites for more information on Health Savings Accounts:
