WHAT IS AN HSA?
A Health Savings Account (HSA) is a unique savings account available to those who enroll in the High-Deductible Health Plan (HDHP)). The deposits you make to this account are made on a pre-tax basis from your paycheck. The administrator for your account is Key Bank.
IRS Rules
Since this a pre-tax account there are IRS rules and limits. Usually, the maximum limit that you can contribute increases each year. The limit includes contributions from all sources, even your employer’s contributions.
Employer HSA Contributions (Annual)
The City of North Ridgeville will make a contribution to your account each year. For 2027 the contribution amount is
$1,250 for Single coverage and the amount is $2,250 for Family coverage.
Resources
Remember:
- You do not pay taxes on the withdrawals when paying for qualified medical expenses.
- Your HSA balance can be carried over year after year.