Tax Free Health Savings Accounts

Have money to spend on health care even after you retire
Like flexible spending accounts (FSAs), these are tax-free accounts to pay for health-care costs not covered by insurance, such as doctor co-pays, vision and dental care, insurance deductibles and some nonprescription drugs. Unlike FSAs, however, the new accounts can be rolled over each year - something the government hopes you'll do, so you'll have money saved up to spend on health care when you retire.

•  HSAs are "the better rainy day fund" approach to healthcare. Save money on health insurance, and medical expenses when they do occur.
•  HSA contributions are from pre-tax dollars, and can be made by the company and/or the individual / employee.
•  HSAs are controlled and owned by individuals / employees.
•  HSAs accumulate from year to year (not use it or lose it), and are portable.
•  HSA payout's for qualified medical expenses are tax-free.
•  HSAs accumulated capital, interest and dividends are tax-free until retirement.
•  HSAs are an inheritable asset.

What is a Health Savings Account (“HSA”)?
A Health Savings Account is an alternative to traditional health insurance; it is a savings product that offers a different way for consumers to pay for their health care. HSAs enable you to pay for current health expenses and save for future qualified medical and retiree health expenses on a tax-free basis.
You must be covered by a High Deductible Health Plan (HDHP) to be able to take advantage of HSAs. An HDHP generally costs less than what traditional health care coverage costs, so the money that you save on insurance can therefore be put into the Health Savings Account.
You own and you control the money in your HSA. Decisions on how to spend the money are made by you without relying on a third party or a health insurer. You will also decide what types of investments to make with the money in the account in order to make it grow.

What Is a “High Deductible Health Plan” (HDHP)?
You must have an HDHP if you want to open an HSA. Sometimes referred to as a “catastrophic” health insurance plan, an HDHP is an inexpensive health insurance plan that generally doesn’t pay for the first several thousand dollars of health care expenses (i.e., your “deductible”) but will generally cover you after that. Of course, your HSA is available to help you pay for the expenses your plan does not cover.

How can I get a Health Savings Account?
Evercare Financial Group can assist you in setting up a Health Savings Account.

How much does an HSA cost?
An HSA is not something you purchase; it’s a savings account into which you can deposit money on a tax-preferred basis. The only product you purchase with an HSA is a High Deductible Health Plan, an inexpensive plan that will cover you should your medical expenses exceed the funds you have in your HSA.
Evercare Financial Group can help you get started to achieve a successful Health Savings Account.
Call us today to get started!

3 Ways to Cut Health Care Costs
Have you received that hefty packet detailing your benefits from the human-resources department yet? If not, you'll likely get one soon, this is the time many companies ask their employees to rethink their insurance coverage. And while 80% of us will simply check off what we had last year, benefits experts say that can be an expensive mistake. As insurance costs for companies rise, you can bet some of that burden will shift to employees. But by choosing the smartest insurance plan and taking advantage of other ways your employer or insurer can pick up more of the tab, you can still save hundreds of dollars next year.
The catch? You need to invest some time and effort: Read that benefits packet carefully, and have Evercare Financial  visit you so that they can help you make the most of your insurance plan.

1. Do the math
Choosing the health-insurance plan that will ultimately cost you the least while providing the care you want is no simple task. Most people look at just one number when deciding between insurance options: the monthly contribution their employer charges for coverage, but also knowing what you're likely to spend out-of-pocket in the coming year is crucial.
Evercare Financial Group will break give you a breakdown of the fees, co-payments, doctor's visits, co-pays for prescription drugs and the like. We will evaluate your annual contribution; out-of-pocket costs; deductible; and co-insurance, in order to determine other options available to you that could decrease your overall health care costs.

2. Open a Flexible Spending Account or Health Savings Account
Flexible spending accounts (FSAs), let you deduct pre-tax money - usually up to $5,000 a year from your pay check to pay medical costs not covered by health insurance. These include everything from cough syrup to LASIK vision correction to certain types of cosmetic surgery and fertility treatments.
Like flexible spending accounts (FSAs), these are tax-free accounts to pay for health-care costs not covered by insurance, such as doctor co-pays, vision and dental care, insurance deductibles and some nonprescription drugs. Unlike FSAs, however, the new accounts can be rolled over each year - something the government hopes you'll do so you'll have money saved up to spend on health care when you retire.

3. Save on drug costs
Even if you live a healthy lifestyle, you may still take some kind of prescription medication. Drug co-payments are one of the easiest areas to shift costs to workers, but there are some simple ways to save money.

• Always ask you physician if samples are available. Often the sample pack is a full course of the medicine you need. Doctors may also have coupons redeemable for samples at the pharmacy.
• Look online for coupons for popular drugs. At flonase.com for example, you'll find a printable coupon for $5 off four prescriptions whether you pay cash or a co-pay for the allergy drug.
• Use mail-order pharmacies. A great option for drugs you take daily, such as asthma medication or birth-control pills; when you use a mail order pharmacy it's standard to pay two co-pays and get a three-month supply.