Health Savings Checking Accounts

A Health Savings Account (H.S.A.) is a tax-advantaged personal account that allows you to pay for medical expenses and save for future medical expenses.

Any adult can contribute to an H.S.A. as long as they:

• Have coverage under an H.S.A.-qualified "high deductible health plan" (HDHP).
• Have no other first-dollar medical coverage (other types of insurance like specific injury insurance or accident, disability, dental care, vision care, or long term care insurance are permitted)
• Are not enrolled in Medicare
• Cannot be claimed as a dependent on someone else's tax return.

The following are allowable contribution maximums for each year that the eligibility for H.S.A. requirements is met:

Individual Coverage		Family Coverage
2011 - $3,050		2011 - $6,150
2012 - $3,100		2012 - $6,250

Individuals age 55 and older can make additional "catch-up" contributions. The maximum annual catch up contribution is $1,000. All contributions can be made as late as April 15 of the following year.

Yes! Your existing H.S.A. can be rolled over into an account at Santa Cruz County Bank. Simply provide us a copy of an account statement from your existing Health Savings Account.

Come in to any of our banking offices to open your Health Savings Account or contact Shirley Hennessey at 831.457.5003 ext 2128 or Emily Blakeslee at 831.457.5003 ext 2129. Unlike many providers, Santa Cruz County Bank does not charge any opening or enrollment fees to set up H.S.A. accounts. All Health Savings Accounts are eligible to earn interest, include unlimited check writing, allow debit card access for payments, a quarterly account statement and have a low monthly maintenance fee of $2.50. For a complete list of account terms, fees and conditions, please contact us.

We love referrals! If you have clients that would benefit from establishing Health Savings Accounts, we'd love to hear from you. Contact Shirley Hennessey at 831.457.5003 ext 2128 or Emily Blakeslee at 831.457.5003 ext 2129.