Health Savings Accounts

Health Sav­ings Account

Co-pays, medications, specialist visits - healthcare costs add up quickly. With Northern Bank’s convenient Health Savings Accounts (H.S.A.), you can reduce your tax bill and have the convenience of a debit card to make all of your healthcare purchases.

What Is A Health Sav­ings Account?

A Health Savings Account (H.S.A.) is an interest checking account designed for individuals who participate in a high deductible health care plan and want to save, pre-tax, for future medical and retiree health expenses. You can use your H.S.A. to pay for current qualified medical expenses that are not covered by insurance.


With A North­ern Bank H.S.A.* You Get:

  • Competitive interest rate
  • No monthly service charge
  • No minimum balance required to maintain account
  • Mobile wallet ready H.S.A. debit card
  • Online banking with e-statements and bill pay
  • Mobile banking with mobile deposit
  • Annual statement of contributions and payments

*$25 minimum deposit to open the account. $25 account closing fee.

Ben­e­fits of a Health Sav­ings Account

There are tax benefits to contributing to an H.S.A.

  • Contributions*: Your contributions are not subject to Federal or state income tax. Most states do not impose a state income tax.
  • Interest: The interest you earn on your H.S.A account is tax exempt.
  • Withdrawals: Your withdrawals to pay for qualified medical expenses are tax free deductions. You also do not have the same “use it or lose it” rule as a Flexible Spending Account (FSA) so you can let your account grow and save for future medical expenses.

*Please consult a financial or tax advisor regarding your state specific rules

Employ­er Ben­e­fits Of Offer­ing H.S.A

  • Payroll Tax Savings*: As an employer, you do not have to pay payroll taxes on H.S.A contributions made by your employees payroll deductions.
  • Federal Tax Savings*: As an employer, if you make contributions to your employee H.S.A accounts, you may be eligible to take a federal income tax deduction on these contributions*
  • Employee Retention*: Offering a competitive benefits package that includes a Health Savings Account, that you contribute to, can help attract and retain high valued employees.

*Please consult with your company's financial or tax advisor.


How to Use Your H.S.A.


  • Deposit funds electronically via direct deposit from your employer.
  • Transfer funds through online banking
  • Deposit checks using mobile deposit.
  • Prior year contributions can be made through the mail.

*All deposits into your H.S.A. are considered a current year contribution.


  • Use your H.S.A. Northern Bank Debit Mastercard® where accepted for qualified medical expenses.
  • Write a check.
  • Schedule a bill payment through online or mobile banking.

*Please note that it is your responsibility to ensure that you are using your H.S.A. funds to cover or pay for qualified medical expenses.

Transactions and Statements

  • View and download your H.S.A activity through online or mobile banking
  • Elect to receive your monthly account statement electronically which will make your statement available to view sooner than if you were to receive the statement in the mail

Con­tact Us!

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