The cost to provide healthcare coverage to your employees is becoming less affordable every year. Like many companies, you need to control spending to stay competitive but rising health care expenses are impacting your profits. A High Deductible Health Plan (HDHP) paired with a Health Savings Account (HSA) is an increasingly popular option for business owners. It allows you to manage insurance costs while providing health benefits that attract and retain a qualified workforce.
Switching to an HDHP can help you reduce the amount of money you spend on health insurance premiums for your employees. An HDHP is an alternative form of health insurance where plan holders pay lower premiums in exchange for a higher deductible.
In return, you can pass on some of that savings to your employees by contributing to their HSA. A Health Savings Account (HSA) is an account to help your employees pay for qualified medical expenses not covered by their insurance plan. HVFCU can provide your employees with an HSA Checking Account and free HSA Visa® Check Card. Employees can use this HSA Checking Account to pay for qualifying medical expenses.
HSA contributions can be funded by the employee, the employer, or both. As an employer, you aren’t required to make a contribution to your employees’ HSA, however, any payments you make are tax deductible. Some firms wait until the end of the fiscal year, making contributions to employees’ HSAs to reduce taxable income. A company with 15 employees may save 40% over a traditional policy if they make the maximum contribution.
|Type of Coverage||Minimum Annual Deductible||Maximum Annual Out-of-Pocket
Private / Exchange
|2014: $6,350 (Private) / NA (Exchange)
2015: $6,450 (Private) / $6,600 (Exchange)
|2014: $12,700 (Private) / NA (Exchange)
2015: $12,900 (Private) / $13,200 (Exchange)
Contact our Business Development Officers, Charles Walwyn or Vince D’Ambroso for more information on how the credit union can help you reduce your insurance premiums. You can reach Charles by phone at 845.702.8945 or email at [email protected]. You can reach Vince by phone at 845.406.1769 or email at [email protected].
HSA Employer Benefit Calculator
High Deductible Health Plan (HDHP)
An alternative form of health insurance where plan holders pay lower premiums in exchange for a higher deductible.
Qualified Medical Expenses
The Internal Revenue Service defines qualified medical care expenses as amounts paid for the diagnosis, cure, or treatment of a disease, and for treatments affecting any part of function of the body. The expenses must be primarily to alleviate a physical or mental defect or illness. Visit the IRS website for a more detailed list of qualified medical expenses.
HSA Visa Check Card
Your Hudson Valley Federal Credit Union HSA Visa Check Card is the perfect companion to your HSA Checking Account because of the versatility and convenience it offers. Use your card instead of cash or checks to pay for qualifying medical expenses at merchants that accept Visa.
Verified by Visa
Shop with confidence online when you enroll your HSA Visa Check Card in the Verified by Visa program. This additional level of protection verifies account ownership at the time you make online purchases through the use of a secure password. Verified by Visa authenticates your information and sends the online merchant a confirmation that your identity has been verified. This ensures that only you can use your card online at participating stores.
- Verified by Visa is a free service. Register your HVFCU HSA Visa Check Card online at the Verified by Visa website.
- If at any time you forget your Verified by Visa password, call 800.857.3118 for assistance.