Tax Information

You get triple tax savings with your HSA because:

  • The money you put into your HSA is tax deductible.
  • Your savings grow income-tax free.
  • You don't have to pay income taxes on withdrawals used for qualified medical expenses.

With the tax benefits comes the need to report HSA activity to the IRS and keep track of your spending in case you have to prove you used funds for eligible medical expenses.

Reporting to the IRS
It's up to you to keep track of your expenses and report any funds you use for ineligible medical expenses.

Important Forms
There are two tax forms you'll need to file your taxes: IRS Form 1099-SA and IRS Form 8889. We'll send you another form, IRS Form 5498-SA, in May to keep for your records. You can get copies of your recent forms 1099-SA and 5498-SA by logging into your account and following the links to "Statements." More about IRS forms.

State Tax Information
Each state can decide to follow the federal tax guidelines for HSAs or establish its own.

Helpful Information from the IRS
Visit the IRS website to read its guide, "Health Savings Accounts and Other Tax-Favored Health Plans (IRS Publication 969)"




Health savings accounts (HSAs) are individual accounts offered by Optum BankSM, Member FDIC, and are subject to eligibility and restrictions, including but not limited to restrictions on distributions for qualified medical expenses set forth in section 213(d) of the Internal Revenue Code. State taxes may apply. This communication is not intended as legal or tax advice. Please contact a competent legal or tax professional for personal advice on eligibility, tax treatment, and restrictions. Federal and state laws and regulations are subject to change.