HSA your way to big savings
You can use your insurer or employer sponsored HSA ( Health Savings Account) or FSA (Flexible Spending Account) to pay for all or some of your vision correction using pre-tax income.
What is an HSA / FSA?
This is a special type of account where money is deposited by yourself or your employer before taxes. By having a portion of your income placed in a HSA or FSA you lower the overall amount of taxes you pay while realizing savings on medical services. If you aren’t sure if your insurance includes this type of benefit ask your employer or benefit administrator.
How much of my HSA can I use?
Each year you may contribute up to $3,500 (individual) or $7,000 into a HSA, and you can use any amount on your vision correction procedure, up to the entire cost of treatment.
Some employers have a specific period where you have to determine how much you would like to place in your HSA, for those individuals we suggest scheduling a complimentary consultation shortly before the contribution deadline so you may find out if you are a great candidate and know your exact treatment cost to determine how much to contribute into your HSA.
How much will I save?
It depends… By utilizing your HSA you are able to pay with pre-tax income. The amount of your savings depends on your federal income tax bracket, the amount of your HSA you decide to utilize for your treatment, and the total cost of treatment.
On average, the media household in Michigan is in the 22% federal tax bracket, so for every $1,000 spent on medical services you would save $220, effectively paying $880 out of pocket.