Skip to main content

What is a Health Savings Account (HSA)?

It is a tax-advantaged medical savings account for participants in a qualifying high-deductible health plan (HDHP).

Step 1

When a participant enrolls, they or their employer can contribute funds from their paycheck tax-free!

Step 1

A participant can choose to use those tax-free funds to pay for eligible medical expenses, save for retirement, and/or invest.

Want to learn more about the basics of an HSA? Watch this episode of our Benefits Buzz podcast.

Who is eligible for an HSA?

An individual is eligible for an HSA if they are:

  • Covered by an HSA-eligible health plan, otherwise known as an HDHP.
  • Not covered by any other health plan that would disqualify them from an HSA.
  • Not enrolled in Medicare.
  • Not claimed as a dependent on someone else’s tax return.

What expenses are HSA eligible?

There are hundreds of expenses that are eligible for funds, including:

  • Copayments
  • Sunscreen
  • Contact lenses
  • Dental services
  • Ambulance

Shop the HSA Store to find hundreds of eligible expenses.

Benefits of an HSA

Participants experience three key HSA benefits:

Health savings account icon

Save now

Funds are withdrawn tax-free for eligible expenses

Flexible savings account icon

Save later

Tax-free contributions and all funds carry over annually. 

Invest

Invest funds to expedite growth.

Try our My HSA Planner

2022 and 2023 HSA contribution limits

HSA 2022 2023
Self-only $3,650 $3,850
Family $7,300 $7,750

Learn more about 2023 HSA contribution limits.

National HSA Awareness Day

National HSA Awareness Day, held annually on October 15, is dedicated to learning about the value HSAs can bring employees. Ready to get started?

Watch our 2022 HSA Day episode of Benefits Buzz:

Learn more about HSA Day

One account. One app. One card.

Online account

Check your balance, manage investments, and more!

Mobile app

24/7 HSA access at participants’ fingertips.

Benefits card

Multi-account spending with a single card.

The HSA employer experience

We’ve built and continue to invest in technology and services that make it easy for employers to offer an HSA.

Streamlined onboarding and management

Enjoy a transparent process with clear deliverables throughout the onboarding process.

Tailored for employers of all sizes

We’ve simplified processing to allow employers to easily fund contributions in a way that works best for them, group transfers, and accelerated contributions.

Personalized participant experience

Whether your HSA participants are spenders, savers, or investors, WEX has the
tools and resources they need to confidently use their HSA.

View HSA trends

Health Savings Accounts (HSAs) from WEX

From custom options for partners, to personalized experiences for participants, WEX simplifies HSAs for everyone.

When you partner with WEX, you get a completely custom package built for the needs of your business, your employers, and your participants.

Key features

  • Build your custom offering based on your tech and servicing needs
  • Work with your preferred financial advisor on custom fund lists for investments
  • Leverage best-in-class customer service and robust integration solutions

We make it easy for you to recommend WEX to your client by offering custom technology solutions to meet the needs of every organization alongside a service experience that’s second to none.

Key features

  • Benefits consolidation creates a unified experience across FSA, HSA, HRA, commuter benefits, COBRA, and more, including streamlined onboarding, ongoing administration, and renewal
  • Bulk transfer options to support an HSA move for even the most complex organizations
  • Fully customize the technology experiences to your client’s needs, with your client’s brand

With streamlined processes to ease the burden of HSA administration, employers of any size can easily offer an HSA without the hassle on their end.

Key features

  • Use Bulk HSA Transfer to assist in transferring your employees’ old HSAs to their new HSA custodian
  • Easily mirror your 401(k) investment lineup with your HSA offering
  • Leverage HSA Advance, which lets your participants tap into contributions before they’ve built a balance

With one debit card, one online account, and one mobile app to manage their HSA, you get a simplified and personalized experience right from the start.

Key features

  • Online account with expense dashboard to manage and track your HSA and fully integrated investment solution
  • Easy-to-use mobile app that lets you do everything from their phone or tablet
  • One debit card for their health, wellness, and commuter benefits
  • Personalized messaging, no matter how you use their HSA

Get More Information from WEX

Download your resource by simply clicking on the image to get all the details you need on HSAs from WEX for partners, consultants, brokers, employers, and participants.

Our Insights

Stay up-to-date and join the conversation by subscribing to our blog or podcast.

 

Check out these popular HSA blog posts: