Gain More Control Over Your Health Care Spending
With a Health Savings Account you can grow your money tax free and be prepared for future health costs.
Individuals and families enrolled in a high-deductible health plan (HDHP) can set aside pre-tax dollars and watch it grow (also tax-free) while paying for qualified healthcare expenses.
Contributions are made by you, or your employer and unlike a Flexible Spending Account (FSA), your money stays with you, long after you leave your employer to be used on future medical expenses tax-free. Additional rules and regulations can get a bit complicated – learn more in our FAQs section.
There is no minimum required to open an HSA account, and you can start making withdrawals using an HSA debit Mastercard® to pay for qualified medical bills (including dental, vision, and pharmacy).
HSA Benefits & Features:
- Earn more monthly interest with a higher balance (the more you save, the higher the interest rate)
- HSA earnings are tax free when used to pay for qualified medical expenses
- Accessible & Portable – Your HSA belongs to you through retirement
- Rollover Benefits – Any unused balance carries over from one year to the next
- Complimentary debit Mastercard®
- No minimum balance to open
- No setup or transaction fees
- No monthly or annual maintenance fees
- Free direct deposits, online banking/mobile, and bill pay
Health Savings Account
Effective Date: May 1, 2025
| Deposit Product | Annual Percentage Yield | Interest Rate | Minimum Balance to Earn Posted APY | |
|---|---|---|---|---|
| Premier Health Savings | 0.05% | 0.05% | $0.01 – $4,999.99 | How to Open |
| Premier Health Savings | 0.10% | 0.10% | $5,000.00 – $24,999.99 | How to Open |
| Premier Health Savings | 0.15% | 0.15% | $25,000.00 + | How to Open |
HSA FAQs
You are eligible to open an HSA if you meet all of the following IRS rules:
1. You are covered under a high deductible health plan (HDHP).
2. You have no other health coverage except what is permitted by the IRS.
3. You are not enrolled in Medicare.
4. You cannot be claimed as a dependent on someone else’s tax return.
HSA contribution limits are set every year by the IRS. HSA members can contribute up to the annual maximum amount that is set by the IRS, and individuals 55 or older can make catch up contributions. Please visit the IRS.gov Pub969 website for contribution limits and additional information. You should contact your tax professional with questions and guidance for your tax return. TSB does not offer professional tax nor reporting advice.
You can make contributions/deposits at any Torrington Savings Bank branch, by payroll direct deposit, or automatic transfer from another Torrington Savings Bank deposit account. Your employer may also make deposits to your HSA as part of your employee benefits program.
No. Once enrolled in Medicare Part A and/or B, you can no longer contribute pre-tax dollars to your existing HSA. You can continue to make withdrawals to pay for qualified medical expenses.
Yes. You can transfer funds from another HSA to a new one. Contact a local branch to assist with the transfer. The funds in the transfer are not subject to the annual contribution limit, and there is no limit on how many transfers you can make in one year.
The most convenient way to pay for your expenses is to use your TSB issued debit card.
HSA funds can be used to pay for deductibles, copayments, coinsurance, and other qualified medical expenses. Unspent HSA funds roll over from year to year, allowing you to build tax-free savings to pay for medical costs into retirement. Please refer to IRS.gov Pub 502 for additional information regarding qualified medical expenses.
Download the HSA Authorized Signer Form to add/remove users to your account. Please bring the completed form to a local branch.
Health Savings Account Details:
Please see our HSA FAQs for details on how to qualify and effectively manage your account. For additional information regarding Health Savings Accounts visit www.irs.gov. Tax reporting is required if you have an HSA, you should contact your tax professional with questions and guidance for your tax return. TSB does not offer professional tax nor reporting advice.
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