CLICK HERE FOR THE MOST UP TO DATE INFO ON
The Health Savings Account (HSA's)
_________
The former MSA, Medical
Savings Account (permanently expanded effective 1/1/2004), has been replaced by the Health Savings Account
("HSA"). The following describes the pre-cursor MSA
Plan.
See the above link for up to date information on the NEW HSA,
which significantly improved upon the former MSA.
_______
MEDICAL SAVINGS ACCOUNTS
(MSA's) - The Pre-Cursor to HSA's:
The
best type of Indemnity Health Plan (i.e. a plan that allows you to
go to any Doctor of your choosing) 
is
an MSA [NEW as of 1997-(HIPAA) and extended through 12/31/2002, and again more
recently through 12/31/2003].
MSA's offer special tax benefits while giving you freedom from HMO, managed
care, constraints. In order to qualify for an MSA, however, you must
be either self-employed, or a 2% or greater shareholder in an S-Corporation
or a Partnership.
An
MSA is comprised of 2 components; namely, a qualified High Deductible
Health Plan, and the MSA Savings Account, an account that is equal to 65%
if single, or 75% if 2+, of the High Deductible you select.
Money
going into the MSA Savings Account is 100% tax deductible and money coming
out of it for "eligible medical expenses" (based upon a broader federal
definition) is Tax Free. For those who are healthy, and young to
middle aged, MSA's can accumulate a lot of cash over the years, which
if not used for medical needs, may eventually be used to supplement one's
retirement income. If used in this latter fashion, and taken after
Age 65, the 15% penalty tax no longer applies and the MSA income distributions
are then taxed at ordinary income tax rates. Some may also plan to
use these accumulated dollars to fund Long Term Nursing and/or Home Care
needs. Since these are legitimate medical expenses the money would
also be received Tax Free.
How
Medical Savings Accounts Work
Medical
Savings Accounts (MSAs) offer a better alternative to traditional and managed
care insurance. Working in conjunction with a Major Medical plan, the Medical
Savings Account provides comprehensive coverage. Rate increases have also
proven to be lower over time than conventional plans.
Money
is deposited into a personal Medical Savings Account which you can spend
on medical expenses throughout the year-Tax Free. You use the money in
the MSA Savings account to pay for minor and routine medical expenses -
including many expenses normally not covered or severely limited by other
health insurance (due to either Plan or State restrictions), such as dental,
vision, mental health and chiropractic.
You
are rewarded for purchasing medical care wisely, with any money left in
your MSA account at year's end compounding Tax Deferred.
Medical
Savings Accounts
Put you back in control of your health care
& you reap the rewards!
No rationing – No gatekeeper
With
HMOs closing in, we are all on the verge of losing our freedom of choice
for medical care. Medical Savings Accounts (MSAs) give control back
to you - the way it should be. With the right MSA you decide which doctor
to visit and you are free to seek the care you need, and you have the money
to pay for it. MSAs also pay first-dollar benefits, reducing out-of-pocket
medical expenses.
MSAs empower
you to make decisions that reflect your own best interests. Personal decisions
- like whether to get a second opinion - are best made by individuals,
not by bureaucrats. MSAs involve you in your own health care delivery,
and in turn provide long-term satisfaction for your family.
And
another big difference: Those with MSAs who shop wisely and who control
health care spending are rewarded with year-end cash reserves. Do you know
of any other insurance plan that accumulates money, on a tax preferred
basis, and can gives it back to you, through reimbursements, Tax Free,
or accumulates it for you Tax Deferred?
MEDICAL
SAVINGS ACCOUNT
+
MAJOR
MEDICAL
=
MORE
COVERAGE !
To prepare
a quote please complete the questionnaire in the "Quote"
page of this Web site, or simply give us a call: 800.482.5347. We
will need your name, date of birth, dates of births and names of all dependents you
would like to cover; home address and zip code, telephone numbers, and best
time and place to reach you, and a short statement about any pre-existing
health conditions or ongoing medical problems.
(-31006)
Contact Us
Today! Phone: 1.800.482.5347 /
www.LeagueFinancial.com
/ Info@LeagueFinancial.com
