A health savings account (HSA) is a tax-advantaged account available to crew members enrolled in the High-Deductible Health Plan (HDHP). An HSA offers crew members in the HDHP a way to save for future health care expenses.
With an HSA, you own the account and can use it to pay for current health care expenses, like coinsurance and prescriptions, or future health care expenses, like those incurred in retirement, such as Medicare premiums or long-term care. Only crew members enrolled in the HDHP are eligible for HSA contributions.
Advantages of participating in an HSA
The HSA offers triple tax advantages not available through any other type of medical account:
- HSA contributions are not taxed or tax-deductible.
- Account earnings are not taxed.
- Withdrawals used for qualified medical expenses are not taxed.
In addition to the tax advantages, there are other benefits to an HSA, including:
- A Vanguard employer contribution to your HSA (at HealthEquity).
- The ability to maintain contributions in a cash account or invest them into select Vanguard funds.
- Portability—the money deposited into the account is yours to keep. If you retire or leave Vanguard for other employment, you can bring the HSA with you.
- Vanguard will pay your annual administration fee as long as you remain employed at Vanguard and enrolled in the HDHP.
Annual contribution limits
You can find the annual contribution limits for an HSA here. This page also highlights how Vanguard's employer contributions, including Health Smart Rewards, and your personal contributions all count toward the annual HSA contribution limits.
Note: There are important differences between HSAs, health reimbursement arrangements (HRAs), and flexible spending accounts (FSAs). For more information, visit HRA, HSA, FSA - Confused?
HealthEquity is Vanguard's HSA vendor partner. All Vanguard HSA contributions, including any Health Smart Rewards you earn, will be deposited into your HSA with HealthEquity.
Soon after you elect the HDHP medical plan, you will receive a welcome packet from HealthEquity. This packet will provide details on tools and resources available to HSA account holders. It also includes instructions on how to log in to your already-established HSA and how to transfer existing HSA balances to HealthEquity, if you choose do to so.
Accessing your account
You direct when and how you receive reimbursement from your HSA, and HealthEquity offers simple, transparent ways to access and manage the funds. You can:
- Pay for health care services with HealthEquity's Visa debit card.
- Use the online portal to:
- Set up how your contributions are managed. Contributions can be kept as cash, invested, or both.
- Request reimbursement.
- Send payments directly to a health care provider.
- Designate or update your beneficiaries.
- Request a distribution, a transfer, or a rollover.
- Manage your account with HealthEquity's mobile app.
- Once you receive your welcome packet, you can access your account at any time. When accessing your account for the first time, you'll be asked to set up a user name and password.
For more information
If you have questions, or need help navigating your account, contact HealthEquity 24/7 at 866-346-5800 or visit HealthEquity's resource site. If you need additional assistance, please create a case or call Crew Central™ at Ext. 1CREW.