Opening Your Fidelity Health Savings Account (HSA)
You may enroll in the HSA at any time if you are enrolled in the BU Health Savings Plan. This is the process to follow to establish your account:
- You may enroll either via Employee Self Service or by completing a paper Benefits Enrollment Form.
- Once you have submitted your enrollment, your payroll contributions will be set up.
- Fidelity Investments will be informed by Human Resources that you have enrolled and are eligible to open your Fidelity HSA.
- Fidelity will contact you via email or telephone with instructions to set up your account through NetBenefits.
- Once you have completed the account set up, payroll deductions will begin and your pre-tax contributions will be sent to Fidelity.
- After your first contribution, BU will contribute the $500 seed money. Any money in your HSA is immediately available for you to use for qualified medical expenses.
Your Fidelity HSA Investments
The Fidelity HSA is a Fidelity brokerage account that has a “core position” through which all contributions are deposited and all disbursements are withdrawn. This “core position” is an FDIC-Insured Deposit Sweep. Once your account balance exceeds $2,500, you can choose to invest in a broad range of options, including a full range of Fidelity mutual funds, more than 4,000 non-Fidelity funds, and individual stocks and bonds. Any earnings on your Fidelity HSA investments are automatically reinvested and grow tax free.
Funding Your HSA
• Pre-Tax Contributions – Your payroll deductions are taken on a pre-tax basis to fund your account. You may change your payroll deduction amount at any time. Total contributions to your account do not exceed your maximum annual contribution amount.
• After-Tax Contributions – You may make after-tax contributions by check. After-tax contributions are tax deductible to the extent that total contributions to your account do not exceed your maximum annual contribution amount.