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Why First National Bank in Paxton should
be your bank for HSA accounts.
HEALTH SAVINGS ACCOUNT
Member FDIC
Contents
• Benefits of HSAs
• Who is First National Bank in
Paxton?
• What First National can do for you –
the First National Bank HSA Savings
Account
• Account opening process
Member FDIC
What HSAs do for individuals
• Contributions are tax deductible. Contributions can be made
as a payroll deduction which is not subject to FICA or can be taken
as an above-the-line deduction on tax forms.
• Earnings, if used for qualified medical expenses, are tax
free.
• Unused assets, after the age of 65, are treated as retirement
assets. However, funds can still be used for qualified medical
expenses tax free.
• Contributions made by an employer on behalf of the employee are
fully vested. If employment is terminated, the employee still owns
the funds.
• Funds are carried over from year to year which can accumulate to
significant amounts.
• HSA assets may be used to cover family members not eligible for
an HSA (e.g. Spouse over the age of 65)
• Employees can purchase certain types
of insurance with the funds
Member FDIC
What HSAs do for you as the Employer
• Contributions made to an employee account are tax
deductible by the employer.
• HSAs can be offered through cafeteria plans for convenience.
• Contributions can be made up to the tax filing date for the
individual.
• Employer can choose to offer full or partial funding of HSA
accounts to their benefit plans.
• Contributions are considered employer-provided coverage
for medical expenses.
• Overall health insurance costs may decrease by raising the
deductible and lowering the monthly premiums.
• Increased ability to attract and retain employees by offering
additional benefits.
• Employees view as a retirement benefit.
Member FDIC
Who is First National Bank in Paxton?
The First National Bank in Paxton is a National bank with FDIC
insurance. The bank is regulated by the OCC (Office of The
Comptroller of the Currency. The bank is privately held and is run
by a highly regarded Board of Directors.
The bank operates from Paxton, Illinois, and offers a full array of
personal and commercial banking products. First National offers not
only competitive rates and product choices.
First National has a difference. First National still has bankers and
lenders and real people answering the telephone and making
decisions. We offer all of the products that the large banks do with
the same home town personal service that our customers have
become accustom too.
Benefits you can be proud to provide…
First National Bank in Paxton
can give each employee
individual attention while still
offering broad banking services.
– a solid choice for the
investment in HSAs.
Member FDIC
What you and your employees will receive from
First National Bank in Paxton:
• A quality banking relationship.
• Information packet explaining the use and benefits of
HSA accounts.
• Debit card for convenient POS purchases.
• Online banking and bill pay for easy management of
their account - 24-hour access.
• A Friendly Staff to field HSA or banking questions.
• And, some of the best interest rates in the HSA Market
to keep valuable savings growing.
Member FDIC
The First National Health Savings
Account
Features:
• Unlimited no fee check writing
• No fee custom MasterCard debit card
• No fee Online banking (Charges may be incurred by
Internet provider)
• Bill Pay
• No monthly minimum deposit requirement
• No monthly or annual fee
• Initial deposit of $50
• Monthly statements mailed
. MasterCard subject to credit approval.
Member FDIC
How Much To Fund?
It is up to you within the limits allowed by the
government.
2008 HSA Contribution Limits
Self Only
Annual
Contribution
Limit
Family
$3,050 regardless of $6,150 regardless of
the annual deductible the annual deductible
limit in your Highlimit in your HighDeductible Health
Deductible Health
Plan
Plan
Member FDIC
2008 High Deductible Health Plan Limits
Annual Deductible
Self Only
Family
$1,200 or more
$2,400 or more
Member FDIC
Entering the HSA mid-year
• If HDHP coverage is not in place for an
entire year, the account holder will still be
able to make the maximum contribution.
All contributions (including catch-up
contributions) must are no longer prorated. You can now make a full years
contribution even if you start as late as
December. It is the account holders’
responsibility to make the appropriate
contribution.
Member FDIC
Make Your HSA provider
First National Bank in Paxton
We look forward to working with you
and/or your employees