Health Savings Accounts (HSAs)

How Does a HSA Work?

You must have a qualifying high-deductible health plan (HDHP) to contribute to a Health Savings Account (HSA). Save money in your HSA, as you would with any other interest-bearing account, and use your HSA dollars, tax-free, to pay for healthcare expenses incurred by you, your spouse or dependents.

What you don’t spend continues to grow, year after year. After you reach age 65, you can choose to continue to use your HSA tax-free for healthcare expenses or use it for other purposes as taxable income.

What is a Health Savings Account (HSA)?

An HSA is a tax-exempt trust or custodial account established exclusively to pay or reimburse certain medical expense incurred by you, your spouse or your dependents.

Who can participate in an HSA?

  • You must be covered under a High-Deductible Health Plan (HDHP)
  • You can have no health coverage other than the HDHP (certain exceptions may apply)
  • You may not be enrolled in Medicare
  • You cannot be claimed as a dependent on someone else’s tax return.

Are Distributions taxed?

Qualified medical expenses incurred and paid for after the HSA has been established are not taxed as income – even if you are no longer eligible to make contributions to your HSA. For specific information, you are encouraged to consult your tax or legal professional.

IRS Publication 969 and the instructions for IRS form 889 provide further information regarding HSAs and may be found on the IRS website,

How Do I enroll?

Self registration can be found here: The code to get started is EPD-HSADBI.

Healthcare Bank, a division of Bell State Bank & Trust, will serve as the custodian of your HSA. Your HSA product will be administered through Discovery Benefits a partner of Bell State Bank & Trust.

HSA Consumer Contact Information (DBI)

For help with HSAs, please contact:


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