Frequently asked questions about Health Savings Accounts (HSAs)

Account Eligibility

Am I eligible to open an HSA?

In order to be eligible for an HSA, you must be enrolled in a qualified high deductible health plan (HDHP). Only the HDHP plan owner can open an HSA. That said, an HSA-compatible high deductible health plan has to be in the HSA's owner's name.

What is the relationship between a high deductible health plan & an HSA?

Can I enroll in an HSA under my name if my spouse has an HDHP plan?

No, but you can be enrolled in your spouse's family coverage HSA account.

When am I eligible to open an HSA?

You become HSA-eligible as of the 1st day of the subsequent month that you meet all HSA-eligibility criteria. So if you have a qualifying HDHP that begins on March 15, you don’t become HSA-eligible until April 1.

Can I open an HSA account in the middle of the year?

Yes. You can open an HSA at any point so long as you are on a qualifying HDHP.

What happens if I lose HSA eligibility mid-year?

If you were enrolled in the HSA with your employer in 2022 and you lost the eligibility later the year (no HDHP etc.), it only disqualifies you from making contributions. You still own the account. Your HSA account will be transferred to an Individual retail account. You can still contribute in the month you lost the eligibility if you were eligible on the first of the month. For example, if you change the health plan on 6/10, you can still make contributions until 6/30.

Can I close my HSA account?

Yes, please follow the steps:

  1. Fill out the request form and send it to [email protected]. Please note that a $25 closure fee will be applied.

  2. Please make sure you liquidate all the investments before closing the account.

  3. Once you close the accounts and receive the remaining balance, you have 60 days to contribute your funds to another HSA in your name or use them for qualified medical expenses, otherwise:

    a. Funds not contributed to an HSA could be subject to income tax.

    b. Funds used for non-medical expenses could be subject to income tax and an additional 20% penalty.

How can I manage my Forma HSA if I leave my employer?

You will continue to use the Forma member portal to manage your HSA. Please provide our Member Experience Team with your personal email contact via [email protected], and we will provide you with more guidance.