With the rising costs of health care, you need to be prepared. An HSA allows you to put away money for routine and unexpected medical expenses. (Contributions to an HSA may be tax deductible*)

Since there is no “use it or lose it” requirement, your unused HSA dollars can accumulate tax deferred to pay for future health care costs. Also, funds deposited into the account belong to you so they stay with you when you change employers. This account is used to pay for qualified medical expenses.

To open your HSA visit our branch.

Account Details

Franklin First FCU offers both HSA Share Savings and HSA Checking accounts for your convenience. You will receive an account statement quarterly or monthly depending on the account type selected, which details all deposits and withdrawals.

Your account balances are insured up to the limits imposed by the NCUA.

  • No minimum balance to open & no monthly fees (Membership Required)
  • Tax-free withdrawals** for qualified medical expenses

HSA Eligibility

To open and make contributions to a HSA, you must meet all of the following requirements:

  • You must be covered under a High Deductible Health Plan (HDHP)
  • You cannot be covered by any other health plan that is not a HDHP
  • You are not enrolled in Medicare
  • You are not claimed as a dependent on another person’s tax return
  • You are younger than 65 years old (If you are 65 or over and choose to continue working, but are not enrolled in Medicare you are still eligible)

To confirm your eligibility, check with your Employer, Health Insurance Provider, or the US Treasury’s website on Health Savings Accounts.

How Do I Access Funds?

Access to the account is via check or through cash withdrawals at our branch.

Account Balances and Information

Get account balances for your HSA and other Franklin First FCU accounts anytime day or night via Online Banking or call us (413) 774-6700.

Frequently Asked Questions

What is a Health Savings Account (“HSA”)?
A Health Savings Account allows individuals to pay for current health expenses and save for future qualified medical and retiree health expenses on a tax free** basis.
Who is eligible for a Health Savings Account?
To be eligible for a Health Saving Account, an individual must be covered by a High Deductible Health Plan (HDHP), must not be covered by other health insurance (does not apply to specific injury insurance and accident, disability, dental care, vision care, long-term care), is not enrolled in Medicare, and can’t be claimed as a dependent on someone else’s tax return.
What is a “High Deductible Health Plan” (HDHP)?
A HDHP is a health insurance plan with minimum deductible of $1,350 (self-only coverage) or $2,700 (family coverage). The annual out-of-pocket (including deductibles and co-pays) cannot exceed $6,750 (self-only coverage) or $13,500 (family coverage). HDHPs can have first dollar coverage (no deductible) for preventive care and higher out-of-pocket (copays & coinsurance) for non-network services.
Who can contribute to a Health Savings Account?
Annual contribution limits can be viewed on the Internal Revenue Service website.
Do Health Savings Account funds roll over year after year and get invested?
Yes, the money invested in a Health Savings Account rolls over year after year.
Who has control over the money invested in a Health Savings Account?
In most cases the individual will have control over the assets.
Ask your Employer or Health Insurance Company if your health insurance plan are considered a HDHP, and makes you eligible to open and make contributions to a HSA.
Franklin First is not a financial or tax advisor. If you need tax or investment advice we encourage you speak with a skilled tax professional.