Health Savings Account (HSA)

Healthcare costs can be unpredictable—be prepared with an innovative account that helps you save for qualified expenses. 
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Save for medical and other healthcare cost.

Contribute pre-tax dollars to your HSA and enjoy tax-free withdrawals2. If you decide to invest some of your HSA balance, those earnings will also be tax-free1. HSA funds can be used at any time in your life; there is no “use it or lose it” policy. 
 










How Does an HSA Work?

  • Greater personal control over healthcare management and expenses
  • Prepare for qualified medical expenses
  • Earn tiered interest above standard savings on entire balance
  • An HSA provides triple tax savings1:
    • 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
  • No monthly maintenance fee
  • No minimum balance requirements
  • Funds can be withdrawn at any time2
  • 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
  • $3 monthly paper statements, electronic statements are free.
  • Free digital banking
  • Convenient access to funds via free debit card
  • Federally insured by FDIC
  • $25 minimum deposit to open

HSA Eligibility

Most adults under 65 who are not enrolled in Medicare and are covered under a high-deductible health plan (HDHP) can qualify for an HSA, but it is up to the account holders to determine their own eligibility. Please contact your tax advisor for further eligibility requirements.
 

Apply for a Health Savings Account!

West Shore Bank has been Making a Difference Since 1898, committed to helping the people and businesses along the lakeshore to improve their financial well-being. Visit one of our nine locations in Ludington, Frankfort, Hart, Manistee, Onekama, Scottville, or Traverse City.
 

1 Consult a tax advisor.
2 You can withdraw funds at any time for any purpose. However, if funds are withdrawn for reasons other than qualified medical expenses, the
amount withdrawn will be included as taxable income, and is subject to a 10% penalty.



FAQs

A Health Savings Account (HSA) is a tax-advantaged account that helps you save for qualified medical expenses. You can contribute pre-tax dollars to your HSA and enjoy tax-free withdrawals, making it a smart way to manage healthcare costs. Additionally, unused funds roll over year after year, so there's no 'use it or lose it' policy.

Most adults under 65 who are not enrolled in Medicare and are covered under a high-deductible health plan (HDHP) can qualify for an HSA. It's important to determine your own eligibility, so consulting a tax advisor can be beneficial.

An HSA offers triple tax savings: contributions are tax-deductible, earnings from investments are tax-free, and withdrawals for qualified medical expenses are also tax-free. This makes it a powerful tool for managing healthcare costs over time.

At West Shore Bank, there are no monthly maintenance fees for your HSA, and there are no minimum balance requirements. You can also choose between paper statements for a small fee or enjoy free electronic statements.

You can withdraw HSA funds at any time for any purpose; however, if used for non-qualified expenses, the amount will be taxable and subject to a 10% penalty if you're under 65. It's best to use these funds for qualified medical, dental, and vision expenses.

Your HSA at West Shore Bank provides convenient access to funds via a free debit card. This makes it easy to pay for qualified healthcare expenses directly at the time of service.

One of the great benefits of an HSA is that it remains in your name regardless of career or life changes. You can continue to use the funds for qualified expenses even if you switch jobs or health plans.

Contribution limits for an HSA can vary annually, so it's essential to check the latest IRS guidelines. For 2026, contribution limits are $4,400 for self-only and $8,750 for family coverage. If you're 55 or older, you can also make an additional catch-up contribution.

Yes, your HSA at West Shore Bank is federally insured by the FDIC, ensuring that your funds are protected and secure.

Absolutely! If you choose to invest part of your HSA balance, the earnings you gain from those investments will also be tax-free, providing an excellent opportunity for your savings to grow over time.

Opening an HSA with West Shore Bank is easy! You can get started today by visiting one of our local branches. We're here to assist you every step of the way!

 

HSA funds can be used for a wide range of qualified medical expenses, including doctor visits, prescription medications, dental and vision care, and even some over-the-counter products. This flexibility helps you manage your healthcare costs effectively.

Yes, your employer can contribute to your HSA, and those contributions are tax-free as well. This can be a great way to enhance your savings for healthcare expenses.

If you have any additional questions about your HSA or need assistance, please feel free to contact our Customer Care team at (888) 295-4373. Our team is always ready to help you navigate your financial journey with confidence.








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