NARA Northwest Benefits

Health Savings Account (HSA)

&
High Deductible Health Plan (HDHP)

What you need to know !

 In addition to the current medical plans, NARA NW is introducing as an option for
employees a Health Savings Account (HSA) for members starting the January 1,
2024 plan year.
!
NEW
Take advantage of before-tax health savings!

If you enroll in the High Deductible Health Plan (HDHP) you will have access to a Health Savings
Account (HSA) coupled with a High Deductible Health Plan.

NARA NW is making a contribution to your HSA of $2,000 this year. At the beginning of the year NARA
will contribute $1,000 and $83.33 a month thereafter.

With a HSA you must meet the deductible before any benefit is paid by the carrier, other than
preventative care.

In addition to the NARA contribution, an HSA lets you set aside a portion of your paycheck – before taxes
– into an account to help you pay for qualified medical, dental, and vision expenses including deductibles,
co-pays, office visits, pharmacy expenses, and more (See IRS publication 502 for full list)

** This is not a legal document or a guarantee of benefits. Please review the SPD or SBC for full summary of benefits
Health Savings Account (HSA)
Take advantage of before-tax health savings!
Tax Benefits of HSA (Triple Tax Advantage)
• Lowers taxable income (similar to traditional 401k)
• If you invest in mutual funds, any gains are tax-free (similar to ROTH- minimums apply)
• When you use funds for eligible expenses, there are no additional taxes

Eligibility Limitations for HSA

• You are claimed as a dependent on someone else’s taxes
• You are covered by any other health insurance policy that is not considered High Deductible Plan-
• * if on Medicare, Tricare or a non qualified HDHP you cannot be on a H.S.A
• You participate FSA or HRA through your company or spouse plan (some exceptions apply)
• You are currently enrolled in Medicare
• You and your spouse can each have an HSA if you both have high deductible coverage. If you have
family coverage, the maximum contribution is split equally unless you and your spouse agree on a
different division (Cannot fund family max on both accounts)
• H.S.A. is a self-policing account. Please keep receipts in your annual tax folder for future records.
• Please reach out to your HR department, WEX and/or LBG Advisors with any questions throughout
the year.
• LBG Advisors contacts: scott@lbgadvisors.com - 360-430-1183 matt@lbgadvisors.com- 206-228-4587

** This is not a legal document or a guarantee of benefits. Please review the SPD or SBC for full summary of benefits
How a High Deductible Plan & HSA Plans Work
Together

With a HSA and High Deductible
Health Plan, the member is
responsible for all charges until the
deductible is met. Some preventive
care is covered before deductible.
After the annual $1,600 After the member has met their
deductible is met, the plan pays annual Max- Out-of –Pocket of
80% of the charges and the $3,500, the plan pays 100% going
member is responsible for 20% forward the rest of year

*NARA NW is contributing $1,000 at the beginning of the year to the members HSA account and $83.33
monthly to assist with out-of-pocket expenses for a total contribution of $2,000 this year!

Note: Deductible and MOOP amounts illustrated are for an “individual”, family deductible is $3,200; family MOOP is $7,000. Refer to SPD/SBC for exact
plan coverage. For family coverage, (2 or more members) the $3,200 deductible must be met before insurance coverage begins.
Health Savings Account (HSA) NEW
!
Take advantage of before-tax health savings!

If you enroll in the High Deductible Health Plan (HDHP) you will have access to a Health Savings
Account (HSA) as mentioned earlier

With the NARA contribution of $2,000 this year an individual can also contribute on a “before
tax” basis an additional $2,150 to reach the 2024 IRS individual contribution limit of $4,150 .
For family coverage you can contribute an additional $6,300 to the HSA (after NARA’s $2,000
contribution.

An HSA lets you set aside a portion of your paycheck – before tax- to assist you pay for qualified
medical, dental, and vision expenses including deductibles, co-pays, office visits, pharmacy
expenses, and more (See IRS publication 502 for full list)

** This is not a legal document or a guarantee of benefits. Please review the SPD or SBC for full summary of benefits
Getting Started with the HSA is Simple !

1. Sign Up for Kaiser Permanente HSA-qualified plan ($1,600 HDHP plan) through NARA and let HR know if
you want to make contributions to your HSA from your paycheck (pre-tax) in addition to the NARA
contribution.

2. Look for your HSA Health Payment Card and welcome letter in the mail.

3. To access HSA dollars, you’ll need to accept the account’s online user agreement. To do this go to
kp.org/healthpayment using your kp.org user ID and password.

4. Start using and managing your HSA !

** This is not a legal document or a guarantee of benefits. Please review the SPD or SBC for full summary of benefits
How do I access care or pay my bills with my HSA?

• Access your providers as you have in the past

• If you are doing a routine medical visit at Kaiser – a bill will be sent to you to pay online or
via mail with your Health Payment Card pulling the funds from your H.S.A. account. You can
pay with your credit card or cash and get a reimbursement a well.

• For Pharmacy, Vision or Dental (real time charges) you can pay at point of service with your
Health Payment Card or you can pay with your credit card or cash and get a reimbursement
as well.

• For providers outside of Kaiser, use your Health Payment Card (Visa), personal debit/credit
card, or pay cash/check and send in for reimbursement, make sure to keep your receipts

** This is not a legal document or a guarantee of benefits. Please review the SPD or SBC for full summary of benefits
HSA Basics and Qualifying Expenses

HSA Qualifying Expenses:

• Deductibles, Co-Insurance, Regular Bills Received From Providers
• Medical, Dental, Vision Expenses
• Can use account for Employee or Dependents (even if dependent not on your insurance plan)
• Self-Policing Account/ See IRS Pub 502: https://www.irs.gov/forms-pubs/about-publication-502

How do I pay my bills with my HSA?

• Use the Health Payment Card at a Kaiser facility or outside of Kaiser, pay with your Health Payment Card or
personal debit/credit card or cash/check, remember keep your receipts for reimbursement

Other Account Information:

• Employee Owns Account
• Rolls-over year to year (not use it or lose it)
• If employee leaves NARA in future, the funds in the HSA account are owned by you and you can roll-over the
account to a different HSA Administrator

** This is not a legal document or a guarantee of benefits. Please review the SPD or SBC for full summary of benefits
Health Savings Account (HSA)
Take advantage of before-tax health savings!
If you enroll in the High Deductible Health Plan (HDHP) you will have access to a Health
Savings Account (HSA). In addition to the NARA contribution, a HSA lets you set aside
a portion of your paycheck – before taxes – into an account to help you pay for
qualified medical, dental, and vision expenses, including deductibles, co-pays, office
visits, pharmacy expenses, and more (See IRS publication 502 for full list)

2024 Annual Contribution Limits

This includes both employee and employer contribution:
• $4,100 for individual coverage (less company contribution see below)-
• $8,300 for Employee + 1 or more (less company contribution see below) -
• Employees 55 or older can make an additional contribution of $1,000

NARA Northwest will contribute $1,000 up front and $83.33 per month into
this bank account ($2,000 total Annually)
Employee owns this account, and it rolls over year-to-year (not use it or lose it)

How do I pay my bills with my HSA?

• Use my Health Payment Card (debit card) or credit/debit card, cash/check
• You can use your credit card or cash and reimburse yourself using your HSA account

** This is not a legal document or a guarantee of benefits. Please review the SPD or SBC for full summary of benefits
 Health Savings Account (HSA)
Take advantage of before-tax health savings!

How your HSA works

Once you’ve enrolled in an HSA-qualified plan, you
can open an HSA through your employer and save
on taxes in 3 ways:

1. Contributing pretax dollars through your payroll

2. Earning tax-free interest on the money in your
HSA
3. Using tax-free HSA dollars to pay for qualified
health care costs, including:
1. Doctor and hospital visits
2. Prescription drugs
3. X-rays and lab tests
4. Vision and dental care

4. $3.25 fee monthly fee waived when your

average daily balance is $2,000 or more

** This is not a legal document or a guarantee of benefits. Please review the SPD or SBC for full summary of benefits
For More Information or to Answer
Questions, please contact the HR
Benefits Team @ narabenefits!