Health Savings Account

Health Savings Accounts (HSA) have many important advantages for consumers. If you qualify to open one of these specialized bank accounts, then you can:

  • Enjoy a convenient way to save money for current and future medical expenses, through regular payroll deduction
  • Reduce your taxable income, because the money you contribute to an HSA is not taxed
  • Accumulate an unlimited (no lifetime limit and no “Use it or Lose it) amount of money that earns interest, provides investment opportunities, and when spent on qualified medical expenses, is never taxed.

The best part: Your HSA belongs to YOU! Even if you leave current employment, your HSA does not end or disappear, like other employee benefits. An employer may make a contribution to your HSA as well; and that contribution belongs to you upon deposit into your HSA. No strings attached!

An HSA is an investment that pays off in financial security and peace of mind. Funds spent on qualified medical expenses are never taxed, and are available to you even after retirement; a time when healthcare expenses may be unpredictable, but your income is fixed.

Innovative Health Services partners with Avidia Bank to offer HSA services. Avidia Bank, a mutual, FDIC-insured financial services provider, is a specialist in HSA accounts and the custodian of the HSA account.

Innovative Health Services assists your employer to set up payroll deposits to participant accounts, and we assist you, the account-holder, with helpful tools and services so you can easily open your personal account, manage your contributions, pay your healthcare bills, and more.

Who is eligible to open an HSA? How much money can you contribute each calendar year? What types of medical expenses can you pay for with HSA dollars? We know you probably have many questions about this valuable savings vehicle.  Please see below for 10 HSA FAQs you need to know. Read more HSA Q&A’s on our HSA portal, at

Because HSA accounts are governed by IRS regulations, we advise you to review IRS publications 969 and 502. Your HSA account belongs to you, which means that compliance with IRS rules regarding HSA eligibility, contribution limits and HSA withdrawals is your responsibility.

Annual Contribution Limits

These limits are determined by the IRS and may change each calendar year.

If you have individual coverage under your QHDHP – $3,650

If you cover at least one dependent under your QHDHP (family coverage) – $7,300

If you are at least 55 years of age, a catch-up contribution of $1,000 is allowed each year that you remain an HSA-eligible individual.

Please contact us for more information.