The Health Savings Account (HSA) is designed to give you more control over your healthcare expenses and to offer you a special tax-advantaged strategy for paying qualified medical expenses. If your health plan features higher deductibles than traditional health plans, you may be eligible for an HSA. Check with your employer to find out of a high deductible health plan is offered.



With an HSA, you can:
• Earn income tax free with dividends paid on whichever HSA plan you choose.
• Determine your own investment strategy for potential higher returns on your HSA balance.
• Hold on to your savings even after you leave your employer.
• Potentially, pay lower premiums on your health insurance plan
• Carry over unspent balances from year-to-year, no "use it or lose it" policy.
• Use a convenient debit card at doctor's offices, pharmacies, or ATM machines for qualified expenses.

Tax advantages:
• Contributions to an HSA plan can be made pre-tax, reducing your taxible income.
• Post-tax contributions to your HSA are deductible on your federal income tax form.
• Dividends earned are tax-free
• Withdrawls for qualified medical expenses are tax-free.

More and more people are learning that a Health Savings Account can provide a smart way to save for future healthcare needs. Open an L&N Federal Credit Union HSA today and see how it can work for you!

Health Savings Account Contribution Limits
Single Plan Maximum Contribution	$2900.00
Family Plan Maximum Contribution	$5800.00

Health Savings Account Catch-up Contribution Limits
Taxable Year	Maximum Catch-up Amount
2007	$800
2008	$900

For more information about our Saving services, click on one of the links provided or contact our Member Services Department at (800) 292-2905 or (502) 368-5858. Or, email us at memberserv@lnfcu.com.