Health Savings Account (HSA)

With a Health Savings Account (HSA), you can save for future medical expenses and earn dividends, while enjoying income tax savings and lower health insurance premiums!

Dividend Rate	APY
2.47% APR	2.50% APY
Click here for a complete listing of all of our deposit rates.
Rates vary daily. For current rates give us a call at 634-3600 or 800-634-3600 (nationwide) or e-mail us at support@tvfcu.com.

For additional info about HSAs, please visit the following helpful websites

General Information
U.S. Treasury in-depth info
IRS info on tax preparation
IRS info on qualified expenses

Features of our Health Savings Account (HSA)

• Absolutely no monthly or annual fees! Many banks charge fees as high as $50 per year.*
• FREE Tennessee Valley HSA VISA Debit card!
• FREE Online24 Bill Pay!
• FREE starter checks!
• Earns a high rate of return. Currently paying 2.47% APR and yielding 2.50% APY!*

HSA Annual Earnings Comparison
(Based on a contribution of $1,000)

	TVFCU	Competitor's
Rate:	3.00% APY	4.00% APY
Annual Earnings:	$30.00	$40.00
No Annual Fee:	-$0.00	-$50.00
Net Annual Earnings:	$30.00	-$10.00

HSA Advantages

Savings - You can save for future medical expenses while earning dividends.

Insurance Savings - You can save on health insurance premiums by switching to a higher deductible plan.

Tax savings - With an HSA, there are three ways to save on your taxes:

• tax deductions when you contribute to your account
• tax-free earnings on your investment
• tax-free withdrawals for qualified medical expenses

Ownership - There are no "use it or lose it" rules for HSAs. Funds remain in the account from year to year just like an IRA, and you can keep your HSA even if you change jobs or change your health insurance.

Security - Your high-deductible health plan and HSA will protect you against costly medical expenses.

Control - Unlike traditional health plans, you make more decisions about your healthcare. You decide when and where to go, as well as what medical expenses to pay with your HSA.

Who can have an HSA?

You are eligible to have an HSA if you:

• are covered by a "high-deductible health plan" (HDHP)
• are not covered by any other medical insurance
• are not enrolled in Medicare
• cannot be claimed as a dependent on someone else's tax return

2008 HDHP Annual Deductible
Self-only coverage	Family Coverage
$1,100	$2,200

2008 Maximum Out-of-Pocket
Self-only coverage	Family Coverage
$5,600	$11,200

How much can I contribute?

You, your employer, family members, or anyone else can contribute the following amounts to your HSA.

2008 Contribution Limits
Self-only coverage	Family Coverage	Additional Catch-up Contribution Amount
$2,900	$5,800	$900
The above amounts will be adjusted annually for inflation by the IRS. An additional annual "catch-up" contribution of $900 is allowed for individuals who are age 55 or older by the end of the taxable year and have not enrolled in Medicare.

What kinds of expenses can I pay with my HSA?

You can use the money in your HSA to pay for medical expenses for yourself, your spouse or your dependents even if they are not covered by your HDHP.

• Standard out-of-pocket expenses like co-payments and deductibles.
• Prescription and over-the-counter drugs like aspirin and cough syrup etc.
• Vision care expenses like eye exams, eyeglasses and contact lenses.
• Dental expenses like fillings, braces and extractions etc.
• Transportation and lodging when related to healthcare.
• Mental therapy like psychiatrists, psychologists etc.
• Alternative treatments like chiropractic care etc.

These are just a few examples of the qualified medical expenses for an HSA. Please consult your tax professional and/or visit the websites listed to the right of this screen for additional info on how to get the most out of your HSA.

*There is a $25 minimum deposit required to open. Rate is effective as of 04/9/08 and subject to change without notice.