Overview

You can save money on healthcare expenses by paying for them with medical spending accounts. Using these accounts effectively will help you take full advantage of their money-saving potential.

Medical spending accounts:

Key features at a glance:

  • Tax-free money — Money goes in tax-free and comes out tax-free when it’s used for eligible expenses.
  • Convenient payroll deductions — Contribute to your accounts easily and effortlessly.
  • Helpful budgeting tool — Plan for upcoming expenses by setting aside money each paycheck.

Health Savings Account (HSA)

The HSA is a tax-advantaged savings account you can use to help cover the costs of your healthcare. You may be eligible to open and contribute money to an HSA if you choose the $2,850, $4,500 or $6,550 Deductible Plans. Discovery Benefits administers the HSA. You can call 1-877-248-0510 for questions about the HSA.

HSA features:
  • You can choose to participate in an HSA at any time. If you’re enrolled in one of the Rollins high deductible plans and not currently enrolled in the HSA, you can choose to sign up any time during the year.
  • Company contribution just for being enrolled in the plan. If you enroll in any of the HSA-eligible plans, Rollins will contribute $250 to your HSA. If you are a new hire, you will receive the Company contribution – no questions asked! After that, you will be required to get a wellness preventive exam. (Your pre-employment physical counts as a preventive exam.) The money will be deposited within two weeks of your effective date when you enroll during your initial enrollment window.
  • Works like a bank account. Use the money to pay for eligible medical, prescription drug, dental and vision care expenses. You can use the HSA debit card to pay after you receive care, or reimburse yourself for payments you’ve made (up to the available balance in the account).
  • You can save. You decide how much to save and can change that amount at any time. Changes in the amount you contribute take effect the first of the month. Contribute up to the annual IRS limit of $3,500 for individuals or $7,000 for family coverage (including the Rollins’ contribution); $1,000 additional contribution allowed for employees age 55+.
  • Never pay taxes. Contributions are made from your paycheck on a before-tax basis, and the money will never be taxed when used for eligible expenses.
  • It’s your money. Unused money can be carried over each year and invested for the future — you can even take it with you if you leave your job.

Important! When you enroll, you will need to elect your HSA contribution amount. From there, your account is automatically opened through Discovery Benefits.

How the $2,850, $4,500, or $6,550 Deductible Plans and the HSA work together

hsa-infographic

* In the $6,550 Deductible Plan, Rollins pays all of the coinsurance (100%) after you meet the deductible.

SEE THE HSA IN ACTION

Watch this video to learn more about how the HSA works.

WHO CAN CONTRIBUTE TO AN HSA?

You can contribute to an HSA if you enroll in an HSA-eligible plan, as long as you are not:

  • Claimed as a dependent on anyone else's tax return.
  • Covered by any other medical insurance, such as a spouse's or domestic partner's medical plan, TRICARE or Medicaid.
  • Covered by Medicare Parts A or B.
  • Participating in a Health Care Flexible Spending Account (FSA) in the same calendar year you sign up for an HSA-eligible plan.
WHAT'S ELIGIBLE?

You can use your HSA for out-of-pocket expenses like:

  • Deductibles
  • Office visits
  • Prescription drugs
  • Hospital stays and lab work
  • Speech/occupational/physical therapy
  • Dental and vision care

For a complete list of eligible expenses, go to IRS Publication 502.

Health Care Flexible Spending Account (FSA)

Save money on your healthcare by using a tax-advantaged Flexible Spending Account (FSA). The money you contribute to this account comes from your paycheck before it is taxed, and you withdraw it tax-free when you pay for eligible expenses. The Health Care FSA is administered by Discovery Benefits. You can call 1-877-248-0510 for general questions.

$900 Deductible and $1,500 Deductible plans only
  • Contribute up to $2,700 annually to help cover qualified medical, prescription drug, vision, and dental expenses. For a complete list of eligible expenses, go to IRS Publication 502.
  • Choose your contribution amount once a year (if your personal situation changes, such as getting married or having a baby, you may be able to change your election during the year).
  • Use a debit card to pay for your eligible expenses.
  • Unused money does not carry over at the end of each year — use it or lose it.
Key things to know
  • Your plan year begins January 1 and ends December 31.
  • Each pay period, your account contributions will be automatically deducted from your paycheck (tax-free) and deposited into your Health Care FSA.
  • Expenses incurred prior to the effective date of your participation in the FSA are not eligible for reimbursement from the FSA.
  • You will forfeit your remaining balance in the FSA after March 31.
  • You are eligible to participate in the FSA the first of the month after two months of employment. Only part-time employees considered eligible by the Affordable Care Act (ACA) working an average of 30 hours per week or more over the prior twelve months are eligible to participate in the plan.
  • You can submit expenses for yourself and your dependents, including adult children (up until the end of the calendar year in which they turn 26).
IF YOU HAVE A DOMESTIC PARTNER

IRS rules don’t allow you to use a Health Care FSA or Dependent Care FSA to reimburse yourself for expenses for your domestic partner or your domestic partner’s children.

USE IT OR LOSE IT

You have until December 31 of the current plan year to incur eligible expenses, but you have until March 31 of the following plan year to submit requests for reimbursements. Money left in your account after March 31 will be forfeited per IRS rules.

HSA vs. FSA Comparison

  Health Savings Account (HSA) Health Care FSA
Available to Employees:
  • Enrolled in the $2,850 Deductible, $4,500 Deductible or $6,550 Deductible Plan
  • Enrolled in the $900 Deductible or $1,500 Deductible Plan
  • Not enrolled in a Rollins medical plan
Annual contributions:
  • Rollins contributes $250 to your account if you get a free preventive exam
  • You and Rollins may contribute a total of:
    • Employee only – $3,500
    • Family – $7,000
  • If you are age 55 or older, you may contribute an additional $1,000
  • You can contribute up to $2,700
Use it or lose it?
  • No, the money in your account is always yours to keep
  • Yes, money cannot be carried over to the next year