Health Savings Account
All regular full-time or regular part-time employees who are on the UA Choice CHDP Health Care Plan are eligible.
- Extended Temporary and Temporary employees are not eligible for the HSA.
- You can elect a dependent care Flexible Spending Account (FSA) with an HSA.
- You cannot have a Health Care FSA with an HSA.
To be eligible you cannot be covered by any other health plan, such as:
- Retiree health coverage, or
- A health plan that is not qualified as HSA compatible by the IRS
The University has partnered with Bank of America to offer the Health Savings Account.
An HSA account allows you to:
- Set aside a portion of your pre-tax income
- Request tax-free withdrawals from your account to reimburse yourself when you experience a qualified medical expense
An HSA is a valuable addition to your CDHP plan because:
- You can make higher pre-tax contributions than an FSA
- Unused funds remain in your account and can accrue interest, allowing you to save for the future
- Funds can be invested in various mutual funds for greater growth opportunities
Contribution limits are based on the calendar year and are set by the IRS.
The 2021 annual maximum contributions are:
- $3,600 for an individual
- $7,200 for family coverage regardless of family size
- Additional catch-up amount of $1,000 if you are 55 or older
While the University of Alaska provides convenient payroll deductions for the HSA, all aspects of managing and maintaining the account as well as complying with IRS guidelines remain the responsibility of the employee.
The HSA is a savings account. Funds that are elected to an HSA are yours. Unused funds rollover every year, can accrue interest, and can be invested. The funds remain with you when you separate from the University.
As a new employee, you may elect to participate in the HSA when completing your initial benefits enrollment within 30 days of your employment. You may only enroll in the HSA if you meet the eligibility requirements.
Please complete the UA Choice Benefit Enrollment Form for HSA to enroll.
As a current employee, you may elect to enroll in the HSA at any time pending you meet the eligibility requirements. Changes can be made at any time to your account once it's established. This means you can increase, decrease, stop, or restart your contribution throughout the plan year.
To make changes to your HSA contributions, please complete the UA Choice Benefit Enrollment Form for HSA.
To view or manage your Health Savings Account you will need to login to Bank of America's Health Account's website.
After you enroll in the HSA, you will receive a welcome kit from Bank of America with a debit card to pay for eligible health care expenses with your HSA. If you do not receive a debit card after your initial enrollment, please contact Bank of America's Customer Care line at (866) 791-0250.
Another way to maximize your HSA is to take advantage of the investment option. This
feature of your HSA allows you the opportunity to invest in a wide variety of mutual
funds to help your balance grow over time and save for health care expenses down the
road. There are two ways to invest your HSA funds, recurring and one time transfers.
Recurring Automatic Transfer:
- Employees establish a cash threshold, then, as you make contributions and withdrawals, money will automatically be transferred between your investment and cash accounts.
One Time Manual Transfer:
- Once your HSA balance reaches $1,000, you can make transactions between your cash and investment accounts whenever you want