HEALTH SAVINGS ACCOUNTS

1 1/2 HOURS

PROGRAM OVERVIEW

"Starting January 1, 2004, new innovative Health Savings Accounts will change the way millions can save to meet their health care needs," stated Treasury Secretary John Snow.

Any individual who is covered by a high-deductible health plan may establish as HSA.  Amounts contributed to an HSA belong to individuals and are completely portable.  Every year the money not spent would stay in the account and gain interest tax-free, just like an IRA.  Unused amounts remain available for later years (unlike amounts in Flexible Spending Arrangements that are forfeited if not used by the end of the year).  Tax-advantaged contributions can be made in three ways:  the individual and family members can make tax deductible contributions to the HSA even if the individual does not itemize deductions the individual's employer can make contributions that are not taxed to either the employer or the employee, and the employers with cafeteria plans can allow employees to contribute untaxed salary through a salary reduction plan.  Funds distributed for the HSA are not taxed if they are used to pay qualifying medical expenses.  To encourage saving for health expenses after retirement, HSA owners between age 55 and 65 are allowed to make additional catch-up contributions ($500 in 2004) to their HSA's.  Learn more during this seminar about these new innovative products.

WHAT YOU WILL LEARN

• What are Health Savings Accounts?
• Who is eligible for a HSA?
• What is HDHP?
• How can an HAS be established?
• How much money can be put in an HSA?
• Distributions from HSA
• What are qualified medical expenses?
• How funds are handled at death
• Reporting
• Contracts and procedures
• And much, much more!

WHO SHOULD ATTEND

Customer Service Representatives, Personal Bankers, New Accounts, Compliance, IRA Personnel, Frontline Personnel