When you enroll in UMP Consumer-Directed Health Plan (UMP CDHP), you are automatically enrolled in a health savings account (HSA) through our HSA partner HealthEquity, who manages the account. Your HSA is funded by pre-tax contributions from you, your employer, or both, and you can use that money to pay for qualified medical expenses. You may also make post-tax contributions to your savings account.
An HSA is a tax-advantaged savings account that you can use to pay for qualified medical expenses. The money in your HSA rolls over from year to year (it's not a "use it or lose it" account). You can keep your HSA even if you change employers.
To open an HSA, you must be enrolled in a high-deductible health plan such as UMP CDHP and not be enrolled in other healthcare coverage that could disqualify you.
To learn more about eligibility requirements visit HealthEquity.
For Public Employees Benefits Board (PEBB) employees, the State of Washington contributes $700.08 for an individual, and $1,400.04 for a family on an HSA account each calendar year. If you have at least one other family member on your CDHP, then you qualify for the family contribution. Employer contributions are made only during the months you are enrolled in UMP CDHP.
You may also contribute money into your HSA. These contributions are made on a pre-tax basis, which means they are not counted as part of your gross earnings. You may also make post-tax contributions to your savings account.
Visit HealthEquity to see the IRS established annual contribution limits. The State of Washington’s contributions count toward the limit, as does the SmartHealth incentive .
Many employers will deduct pretax funds from your paycheck and contribute them directly to your HSA. Here's the employee authorization for payroll deduction to Health Savings Account form you must submit.
Once enrolled with HealthEquity, you will receive a member welcome kit including an HSA debit card.*
You can use your HSA debit card* to pay for qualified medical expenses at the time of service. You can also log in to your HealthEquity account to set up an online payment that is sent directly to the provider or to you if you need to be reimbursed for services you paid out of pocket. You must authorize Regence to release your claims to HealthEquity by logging in to your Regence account and requesting it. Your HSA balance will always appear on your Regence account dashboard.
You can use your HSA to pay for qualified medical expenses such as doctor’s visits, prescription drugs, prescribed over-the-counter medications, dental services, and eye care. You can also use HSA funds to pay for qualified expenses for your spouse or tax dependents, even if they aren’t covered by your plan. See the full list of qualified medical expenses on HealthEquity.
If you spend your HSA funds only on qualified medical expenses, you won't pay income tax on that money.
The subscriber is the only member eligible to earn the SmartHealth wellness incentive. A federal law requires a minimum deductible for CDHPs. Therefore, the PEBB Program is not allowed to reduce the UMP CDHP deductible. Instead, when you earn your wellness incentive, it will be deposited into your HSA account. The incentive counts toward your annual maximum contribution. You may need to adjust your payroll contributions to make sure you don’t exceed the maximum contribution allowed for the year.
A Health Savings Account (HSA) is a tax-advantaged spending and savings account that may be used to pay for qualified medical expenses when you enroll in the UMP CDHP plan. The HSA is funded with pre-tax contributions from you, your employer, or both. You can also make deposits on a post-tax basis. You do not have to spend your money by a certain date, and you may take your savings account with you if you change health plans or leave employment.
A flexible spending account (FSA) is a tax-advantaged savings account that may be used to pay for qualified medical expenses. The FSA is funded with pre-tax contributions from you. Medical FSAs are offered through Navia Benefit Solutions. Compare Medical FSAs and HSAs on the Navia website.
Note: You are not allowed to enroll in a Medical Flexible Spending Account (FSA) while you’re enrolled in a CDHP with a Health Savings Account (HSA).
If you have questions or need help with your HSA, contact HealthEquity at 1 (844) 351-6853 (TRS: 711) or visit their website.
*The HealthEquity® Visa® Health Account Card is issued by The Bancorp Bank; member FDIC pursuant to a license from Visa U.S.A. Inc. Your card can be used everywhere Visa debit cards are accepted for qualified expenses. This card cannot be used at ATMs and you cannot get cash back, and cannot be used at gas stations, restaurants, or other establishments not health related. See Cardholder Agreement for complete usage restrictions. HSAs are never taxed at a federal income tax level when used appropriately for qualified medical expenses. Also, most states recognize HSA funds as tax-free with very few exceptions. Please consult a tax advisor regarding your state’s specific rules. It is the members’ responsibility to ensure eligibility requirements as well as if they are eligible for the expenses submitted.