An HSA is a tax-advantaged personal savings account that can be used to pay for medical, dental, vision, and other qualified medical expenses. You can contribute money to your account and spend it now. Or you can keep saving and investing your money and use it later in life. To contribute to an HSA, you must be enrolled in a qualified high deductible health plan (HDHP). Your contributions are subject to annual IRS limits.

In order to contribute, you must be enrolled in a qualified high deductible health plan (HDHP), cannot be covered under a secondary health insurance plan or be enrolled in Medicare, and you cannot be another person’s dependent. There are no eligibility requirements to spend previously contributed HSA funds.

A qualified high deductible health plan (HDHP) is a health insurance plan with lower monthly premiums but higher deductibles, designed to cover major medical expenses while allowing eligibility for a health savings account (HSA). Ask your employer about eligibility.

When you contribute to your HSA, you get a triple tax advantage:

• The money you put into your HSA may reduce your taxable income.
• Interest earned on your HSA funds is tax-free.
• The money you take from your HSA for qualified medical expenses isn’t taxed.

You can use the calculator that is available in your online HSA account, which you can access through BlueCare Connect.

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In 2026, annual contributions from all sources may not exceed $4,400 for individuals or $8,750 for families. Individuals aged 55 and over may make an additional $1,000 catch-up contribution. 2026 contributions can be made by the eligible employee, their employer, or any other individual.

For 2027, the maximum HSA contribution will be $4,500 for self-only coverage and $9,000 for family coverage. Individuals aged 55 or older can add an extra $1,000 catch-up contribution.

The IRS determines the list of qualified expenses and may modify that list at any time. Here are some common and popular items.

• Copays and coinsurance
• Prescription medicines
• Eyeglasses, contact lenses, eye exam
• Dental treatment
• Ambulância
• Chiropractor
• Menstrual care products
• Pregnancy test

Please see IRS Publication 502 for a more detailed listing of qualified medical expenses.

Talk to your employer about having pre-tax dollars deducted from your paycheck and deposited directly into your HSA. You also can transfer money online or deposit a check.

When you have a medical expense, first verify your deductible and the amount that you owe. Then you can pay with your HSA debit card whether it is at your doctor’s office, a pharmacy, or over the phone. You also can pay online. Learn more by visiting your HSA account through BlueCare Connect. Just look for “health saving account" in the Coverage & Benefits menu.

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No. Unlike a flexible spending account (FSA), your HSA funds roll over, year after year. The money is yours to keep, and there is no deadline to use the funds.

Your HSA money is yours to keep, even if you leave your job.

You can learn more through the tutorials and details in your online HSA account, which you can access through BlueCare Connect. Just look for “health saving account" in the Coverage & Benefits menu.

Log in to BlueCare Connect.

A flexible spending account (FSA) is set up through your employer and can be used to pay for many of your out-of-pocket medical expenses with tax-free dollars. FSAs also can be set up for childcare, parking, and commuting costs. While your employer sets up the FSA and sets a limit on how much you can contribute to the account, you decide how much of your pre-tax wages you want put into the FSA. There is no carry-over of FSA funds. This typically means that FSA funds you don’t spend by the end of the plan year can’t be used for expenses in the next year. 

Examples of what you can pay for
The IRS determines the lists of qualified expenses and may modify those lists at any time. Here are some common and popular items.

Healthcare FSA

• Prescription medicines
• Eyeglasses, contact lenses
• Dental treatment
• Ambulância
• Chiropractor
• Menstrual care products

Please see IRS Publication 502 for a more detailed listing of qualified medical expenses.

Dependent Care FSA 

• Child daycare programs
• Before- and after-school programs
• Home care (caregiver cannot be spouse or dependent and must be 19+ years of age)
• Nursery school programs

Please see IRS Publication 503 for a more detailed listing of qualified medical expenses.

A health reimbursement account is funded by your employer. You can be reimbursed from that account, tax-free, for qualified medical expenses up to a fixed dollar amount per year. Unlike flexible spending accounts (FSAs), unused amounts in an HRA can be rolled over for use in subsequent years if your employer allows that.

Examples of what you can pay for
The IRS determines the list of qualified expenses and may modify that list at any time. Here are some common and popular items.

• Prescription medicines
• Eyeglasses, contact lenses
• Dental treatment
• Ambulância
• Chiropractor
• Menstrual care products

Please see IRS Publication 502 for a more detailed listing of qualified medical expenses.