Delta Community Credit Union Health Savings Account (HSA)

Delta Community Credit Union Health Savings Account (HSA)

A Health Savings Account (HSA) is a special savings account designed to help people save money for medical expenses. It is available to individuals with a high-deductible health plan (HDHP). The money you put into an HSA is tax-free, and you can use it to pay for healthcare costs like doctor visits, prescriptions, and hospital stays. 

An HSA is a great way to save for future medical needs because the funds roll over each year, and you can even earn interest on your savings. It’s a smart and flexible tool to manage healthcare expenses while saving on taxes.

Why Should You Enroll in Delta Community Credit Union Health Savings Account (HSA)?

A Health Savings Account (HSA) with Delta Community Credit Union offers several features and benefits that make it a valuable tool for managing healthcare expenses and planning for the future. Here are the key reasons to enroll:

1. Tax-Free Savings for Eligible Medical Expenses

With a Delta Community Credit Union HSA, your savings are tax-free when used for eligible medical expenses. This includes costs like doctor visits, prescriptions, and other qualified healthcare services. By using these tax-free funds, you can reduce your overall healthcare costs and keep more money in your pocket.

2. Pre-Tax Payments for Eligible Medical Expenses

When you use your HSA for eligible medical payments, you can make pre-tax dollar payments. This means the money is deducted from your income before taxes are applied, lowering your taxable income. This feature helps you save on taxes while ensuring you have the funds ready for medical needs.

3. Use for Retirement Payments After Age 65

One of the unique advantages of an HSA is its flexibility after age 65. At this stage, you can use the funds not only for medical expenses but also as a source of retirement income. While non-medical withdrawals will be taxed, there are no penalties, making your HSA a dual-purpose account for healthcare and retirement planning.

A Health Savings Account (HSA) is a tax-advantaged medical savings account available to those who are enrolled in a high-deductible health plan. The funds contributed to an HSA are not subject to federal income tax at the time of deposit.

Contribution Limits for Health Savings Accounts (HSAs)

For 2025, the contribution limits for Health Savings Accounts (HSAs) have been updated to help you save even more for healthcare expenses:

  • Single HSA: You can contribute up to $4,300. If you’re 55 or older, you can add an extra $1,000 as a catch-up contribution, boosting your savings.
  • Family HSA: The contribution limit is set at $8,550. Those aged 55 or older can also include an additional $1,000, making it even easier to prepare for future medical costs.

These limits provide a great opportunity to maximize your tax-advantaged savings and stay financially prepared for healthcare needs.

Health Savings Account Rates for 2025

Tier RateRateAPY
$0 – $499.990.30%0.30%
$500.00 – $9,999.990.30%0.30%
$10,000.00 – $24,999.990.35%0.35%
$25,000.00 – $49,999.990.40%0.40%
$50,000.00 – $99,999.990.60%0.60%
$100,000.00 – and above0.75%0.75%

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