NXT Health Savings
Visiting the doctor likely isn't the most fun thing you could think up. Even less fun — paying the bill. NXT Health Savings offers a tax-advantaged way to stay prepared for medical expenses that come up along the way. Enjoy greater control over your expenses and healthcare — your HSA always remains in your name and retains unused funds year after year, where you continue to earn interest above standard savings.
- Greater personal control over healthcare management and expenses
- Prepare for qualified medical expenses
- Earn interest above standard savings on entire balance
- Receive higher rates on larger deposits
- An HSA provides triple tax savings:
- Tax deductions when you contribute to your account
- Tax-free earnings through investment
- Tax-free withdrawals for qualified medical, dental, vision expenses, and more*
- Contributions are tax-free and can be made by you, your employer, or a third party
- Contributions can be made each year you are eligible
- Individuals age 55 and older can also make additional "catch-up" contributions (See annual limitations)
- Funds can be withdrawn at any time**
- No monthly service fee
- No minimum balance requirements
- Unused funds remain in account year after year; no "use it or lose it" policy
- Keep your HSA in your name, regardless of career or life changes
- Federally insured by FDIC
More Information about HSAs
Additional information may be found at the Treasury's web site at www.treas.gov.
*Consult a tax advisor.
** You can use the money in the account to pay for any "qualified medical expense" permitted under federal tax law. This includes most medical care and services, and dental and vision care, and also includes over-the-counter drugs such as aspirin. You can use the money in the account to pay for medical expenses of your spouse and dependent children even if they are not covered by your HDHP.
However, if funds are withdrawn for reasons other than qualified medical expenses, the amount withdrawn will be included as taxable income, and is subject to a 10% penalty. After you turn 65, the 10% additional tax penalty no longer applies.
An adult can contribute to an HSA if they:
- Have coverage under an HSA-qualified "high deductible health plan" (HDHP)
- Check with your insurance provider to verify that the high deductible health plan you are considering is HSA qualified
- 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
No income limits apply
Individuals do not have to have earned income from employment to have an HSA.