The Postal Service™ has implemented an employee self-service Health Savings Account (HSA) module in PostalEASE, which is available only for employees who are enrolled in a High Deductible Health Plan (HDHP) in the Federal Employees Health Benefits (FEHB) Program and who wish to contribute to their HSA with pre-tax dollars through salary reduction.
Employees bear sole responsibility for the tax consequences of electing to make HSA contributions. The Postal Service cannot determine employees’ eligibility to begin or continue HSA contributions. If employees make HSA contributions and they are not eligible under the Internal Revenue Code, there may be tax consequences that will cost them money. For any questions about whether to contribute to an HSA, contact the Internal Revenue Service, a qualified financial counselor, or the HDHP for assistance. The Postal Service cannot advise employees on whether to contribute to an HSA or what the tax consequences might be.
To contribute to an HSA, under the Internal Revenue Code employees must participate in an HDHP, have no other insurance coverage except for what is specifically allowed under the Internal Revenue Code (for example, disability, dental, vision, long-term care, and limited flexible spending accounts), not be claimed as a dependent on someone else’s tax return, and meet any other Internal Revenue Code requirements.
Under the Internal Revenue Code, employees must not contribute to an HSA if they participate in a health care Flexible Spending Account (FSA); a spouse’s health care FSA; a spouse’s family enrollment in other non–high deductible health insurance coverage, TRICARE, or Medicare; or have received any health benefits, including prescription drugs, from the Veterans Administration or one of its facilities within the previous 3 months.
There are annual Internal Revenue Code HSA contribution limits that may be adjusted each calendar year. Employees are responsible for knowing the calendar year limits. The 2009 annual contribution limit, including HDHP premium pass through, is $3,000 for Self Only and $5,950 for Family enrollment. Employees who are age 55 and older may contribute an additional pre-tax catch-up amount of $1000.
For employees who elect to contribute to an HSA (this applies to both regular and catch-up HSA contributions) and do not terminate their HSA contributions during the year, and their contribution does not end because they have reached the annual IRS contribution limit, then their HSA contributions will always automatically end after the last pay period of the calendar year (Pay Period 26, or Pay Period 27 in years with 27 pay periods). If employees want to begin contributing in the new calendar year, they will need to make a new election to begin contributing to their HSA for Pay Period 1 or later of the new calendar year.
Employees who elect to contribute to their HSA directly from their pay will be able to do so using PostalEASE via LiteBlue at https://liteblue.usps.gov or Blue, or by using a kiosk (available at certain Postal Service facilities) or placing a toll-free call to 1-877-477-3273, option 1. PostalEASE Health Savings Account Contributions Worksheets should be completed prior to submitting HSA elections.
The Postal Service cannot process your pre-tax HSA contributions if you select an account that is already being used for your regular allotment, your payroll net-to-bank, or your eTravel account. You must either select a different account for your HSA contributions; cancel your allotment, payroll net-to-bank, or eTravel arrangement; or change the account that you are using for your allotment, payroll net-to-bank, or eTravel arrangement. If you are making after-tax HSA contributions via an allotment to the account that you want to use for pre-tax HSA contributions, you must first cancel the allotment or change the account you are using for the pre-tax HSA contributions or the after-tax HSA allotment before you will be able to complete your HSA contributions transaction.
Employees who have problems using PostalEASE should contact the Human Resources Shared Service Center (HRSSC) at 1-877-477-3273, option 5, and then request “Benefits” when prompted. To reach the HRSSC using TTY, call 1-866-260-7507. The HRSSC cannot answer tax questions or questions about whether you should contribute to an HSA.
Employees who are currently enrolled in FEHB HDHPs should have received a letter and a PostalEASE HSA Worksheet at their mailing addresses of record in Pay Period 13.
— Compensation,
Human Resources, 6-18-09
