HSA Health Savings Accounts Home Care Path

HSA Health Savings Accounts came about as part of the Medicare Prescription Drug, Improvement, and Modernization Act which was signed in to law by President George W. Bush on December 8, 2003. HSA is classified as a tax advantage medical savings account.

The money contributed to a Health Savings Account is not subject to federal income tax at the time of deposit. Contributions may be made on a pre tax basis through an employer. If the option does not exist through the employer, contributions can be made on a post tax basis, and used to decrease gross taxable income on the following years form 1040.

A HSA Health Savings Account the funds deposited can remain available from year to year. This is different than the FSA Flexible Spending Account where funds cannot roll over and accumulate from year to year.

HSA saved funds can be used for qualified medical expenses. Part of the qualification process involves a medical doctors prescription. Money from HSA's is withdrawn for reimbursement very similar to medical insurance.

Home Care Path www.homecarepath.com expects to hear more from the media in the future on the subject of Health Savings Accounts in The State Of Wisconsin.