Health Savings Account (HSA)

Definition: 
Qualified tax favored savings account eligible to any taxpayer opening the account before age 65, in which tax free medical expenditures can be disbursed, as established by The Medicare Prescription Drug, Improvement and Modernization Act of 2003. An HSA provides for portability and investment of account funds, and must be offered in combination with qualified high deductible health plans.
Glossary Category: 
Consumer Driven