To be eligible to make tax-deductible contributions to an HSA, an individual (or family) must be covered under a qualified high deductible benefit plan.
Individuals who are NOT eligible to establish or contribute to an HSA include:
- Individuals covered under a health plan that is not an HSA qualified high deductible health plan (for example, individuals covered as a dependent on their spouse's employer health plan that does not meet the minimum deductible requirements).
- Individuals covered by a comprehensive major medical individual insurance policy.
- Individuals covered by a health Flexible Spending Account (FSA) or Health Reimbursement Account (HRA) through an employer or spouse's employer.*
- Individuals enrolled in Medicare.
- Individuals claimed as a dependent on another person's tax return.
*Note: Depending on your individual circumstances, you may be covered by a health FSA or HRA and still be eligible to make tax-deductible contributions to an HSA. For example, if the FSA or HRA is also an HSA qualified high deductible health plan, or if the FSA or HSA is a limited purpose FSA (i.e., dental or vision benefits), which does not cover medical expenses, you may be eligible for the HSA. You should discuss this with your tax advisor. Please refer to your HSA Plan Document for additional eligibility information.