An HSA is a tax-advantaged^[3] account established to pay for qualified medical expenses^[4] for those covered under a High Deductible Health Plan (HDHP). HDHPs are generally characterized by lower monthly premiums and higher deductibles. With money from the HSA account, you pay for healthcare expenses until your deductible is met. Any unused funds in the HSA are yours and can accumulate toward future healthcare expenses or even in retirement.

• Contributions are pre-tax or tax-deductible.*
• Interest earned is tax-free.*
• Tax-free withdrawals may be made for qualified medical expenses.
• Unused balances roll over from year to year.
• You own the HSA and it is yours to keep — even when you change jobs or health plans or retire.

* Contributions are tax-deductible on your federal tax return. Some states do not recognize HSA contributions or earnings as a deduction. Your own HSA contributions are either pre-tax (if made by payroll deduction) or tax-deductible. For more information, see IRS Publication 969. ^[1,2]

Eligible individuals are those who are:

• Covered by an HSA-qualified High Deductible Health Plan (HDHP)
• Not covered by other health insurance that provides the same benefits also covered by your HDHP
• Age 18 or older
• Not claimed as a dependent on someone else’s tax return
• Not enrolled in Medicare

A person generally qualifies as your dependent for HSA purposes if they are not claimed as a dependent on someone else’s federal tax return.^[3]

An HSA-eligible health plan is required to satisfy certain requirements with respect to deductibles and out-of-pocket expenses.

The IRS has issued the following HDHP limits:

For self-only coverage in 2026, an HDHP has an annual deductible of at least $1,700 ($1,650 for 2025) and annual out-of-pocket expenses (deductibles, co-payments and other amounts, but not premiums) not exceeding $8,500 for 2026 ($8,300 for 2025) (as indexed).

For family coverage in 2026, an HDHP has an annual deductible of at least $3,400 ($3,300 for 2025) and annual out-of-pocket expenses not exceeding $17,000 for 2026 ($16,600 for 2025). HDHP qualifying deductibles and annual out-of-pocket expenses are indexed for inflation on an annual basis.

If you enroll in or are covered by a general-purpose FSA or Health Reimbursement Arrangement (HRA) that pays or reimburses for qualified medical expenses, you cannot enroll in or make contributions to an HSA for that coverage period. However, you may be able to make contributions to an HSA if you are covered under a limited-purpose FSA or HRA. Limited-purpose FSAs and HRAs restrict reimbursements to certain permitted benefits such as vision, dental and preventive care benefits.

No, the HDHP does not have to be in your name. You can be eligible for an HSA as long as you have coverage under an HDHP, assuming you meet the other eligibility requirements for contributing to an HSA. You can still be eligible for an HSA even if the HDHP is in your spouse’s name.

You cannot enroll in or make contributions to an HSA unless you have coverage under an HDHP.

You’re not eligible for an HSA after you’ve enrolled in Medicare. If you had an HSA before you enrolled in Medicare, you can keep it. However, you cannot make contributions to an HSA after you enroll in Medicare.

You may begin contributing to your HSA on the effective date of your HDHP coverage.

The IRS has issued the following limits on contributions: Your annual HSA contribution may not exceed IRS limits of $4,400 for 2026 ($4,300 for 2025) for individual coverage or $8,750 for 2026 ($8,550 for 2025) for family coverage. For individuals age 55 and older, the HSA contribution limit is increased by $1,000. The IRS limits are indexed for inflation on an annual basis and may change from year to year.^[2]

Under the last-month rule, if you have HDHP coverage on the first day of the last month of your tax year (December 1 for most taxpayers), you are considered an eligible individual for the entire year. The maximum annual HSA contribution can be made for that tax year, regardless of when, during that year, the HSA was opened. For example, if an individual opens an HSA on June 1, the full contribution allowable by law can be made for that year.^[1]

Important Note:

Penalties may apply if HDHP coverage does not continue for the next 12-month period known as the testing period. For the last month rule, the testing period begins with the last month of your tax year (usually December) and ends on the last day on the 12th month following that month. If you fail to remain an eligible individual during the testing period, you may be subject to penalties.^{[2, 3]}

For an established HSA, contributions for the tax year can be made in one or more payments at any time after the tax year has begun and prior to the individual’s tax filing deadline (without extensions). For most taxpayers, this is typically April 15 of the year following the tax year for which contributions are made.

Contributions to your HSA can be made by your employer, by you or by both. All contributions are aggregated to determine whether you contributed the maximum allowed.

Joint HSA accounts are not permitted. Each spouse should consider establishing an HSA in his or her own name. This allows each of you to make catch-up contributions after age 55. You can still be eligible for an HSA even if the HDHP is in your spouse’s name.

Qualified medical expenses are^[4] expenses paid by the account holder for diagnosis, cure, mitigation, treatment, or prevention of disease. Examples of these expenses are prescription drugs, including over-the-counter medications, feminine hygiene products, dental and orthodontic services, and optometrist products and services.^[4]

No. You may only withdraw funds to pay for the qualified medical expenses^[4] of yourself, your spouse or an eligible dependent for federal tax purposes.^{[2, 3]}

Qualified medical expenses can be paid with your PNC BeneFit Plus debit card, using the PNC BeneFit Plus online Bill Pay or by distributing funds from your HSA and transferring the funds to your personal bank account.

No, qualified medical expenses^[4] may only be reimbursed if the qualified medical expenses are incurred after the date your HSA was established.

As the HSA account holder, you must verify that distributions are used for qualified medical expenses.^[4] Records of medical expenses should be maintained as evidence that distributions have been made for these purposes.

Any amount of a distribution not used exclusively to pay for qualified medical expenses^[4] is includable in gross income of the account holder. Such distributions are subject to an additional 20% tax on the amount, except in the case of distributions made after the account holder’s death, disability or attaining age 65.^{[2, 3]}

Any remaining balance automatically rolls over year after year.

Yes. You should keep receipts in the event of an audit — you can use the Expense Tracker tool in the PNC BeneFit Plus consumer portal or PNC BeneFit Plus mobile app to warehouse your receipts and simplify your record-keeping.^[5]

First, activate your card by calling the toll-free number on the activation sticker on your card and follow the prompts. Please note that if you have a Health Savings Account (HSA) you will also need to accept the HSA Disclosure Statement and Custodial Account Agreement before your card may be used.

Your card allows you to directly access the funds set aside in your account(s), such as an HSA, Flexible Spending Accounts (FSAs), Health Reimbursement Arrangements (HRAs), or other benefit spending accounts.

Simply use your card when making a purchase or paying for services, rather than having to submit for reimbursement later. The card can only be used your qualified medical and other eligible expenses.

Generally, you will not need a PIN to make purchases or pay for services. Simply select “credit” at checkout and sign for your purchase. If you would like to use a PIN with your card to make purchases, where entering a PIN is allowed, you may obtain a PIN during the card activation process. If you prefer, you can always request or reset a PIN by calling the number on the back of your card.

You may not use your debit card to obtain cash at an ATM or bank branch, nor to obtain cash back with a purchase transaction.

Transactions are limited to the amount of money available in your account(s). You can view your account balance by logging in to your account(s) at participant.pncbenefitplus.com, by using the PNC BeneFit Plus Mobile App^[5] or by calling PNC BeneFit Plus Consumer Services using the phone number located on the back of your card (1-844-356-9993).

For an HSA, you can typically use your debit card wherever you purchase products or services that are considered qualified medical expenses.^[4]

For FSA or HRA programs, IRS regulations allow you to use your debit card at participating pharmacies, at mail-order pharmacies, and at approved non-healthcare merchants (e.g., discount stores, department stores or supermarkets) that can identify FSA/HRA eligible items at checkout.

For a Qualified Transportation Account (QTA), you may use your card at participating transportation venues, including parking garages, public transportation, such as subways, trains and buses, or for other eligible expenses in accordance with your employer benefit plan and the PNC BeneFit Plus Debit Card Agreement.

For an HSA, you are not required to submit receipts for your purchases, but we encourage you to save your receipts in case they are needed for future expense verification.

For FSA, HRA or other benefit account transactions you should retain receipts until the end of the benefit year and/or grace period (if applicable). You may be asked to submit receipts to verify that your expenses comply with IRS guidelines and are in accordance with your employer’s benefit plan. Each receipt must show:

• The merchant or provider name
• The service received or the item purchased
• The date and the amount of the purchase

Remember to always save your receipts. For an HSA, you are not required to submit receipts for your purchases. If you participate in other benefit spending accounts, you may be required to submit a receipt to authorize your claim. If additional documentation is required, you will receive an email notification from PNC to submit any required receipts. Receipts may be uploaded online at participant.pncbenefitplus.com or via the PNC BeneFit Plus Mobile App.^[5]

Your card will be suspended if you do not provide a receipt when requested or until you repay any unsubstantiated claims.

Call the PNC BeneFit Plus Customer Service Center number on the back of your card (1-844-356-9993) to report your card lost or stolen as soon as you realize it is missing. PNC will cancel your current card(s) and issue replacement card(s) to you. You can also report your card lost or stolen via your PNC BeneFit Plus Mobile App^[5] or on the PNC BeneFit Plus Consumer Portal at participant.pncbenefitplus.com.

Call the PNC BeneFit Plus Customer Service Center number on the back of your card (1-844-356-9993) to report your card lost or stolen as soon as you realize it is missing. PNC will cancel your current card(s) and issue replacement card(s) to you.

If you notice transactions that you do not recognize, you will need to provide us with a completed dispute form within ninety (90) days after the unauthorized transaction was debited or credited to your account. Please refer to the PNC BeneFit Plus Debit Card Agreement for details.

You can also report your card lost or stolen via your PNC BeneFit Plus Mobile App^[5] or on the PNC BeneFit Plus Consumer Portal at participant.pncbenefitplus.com.

You can set up your HSA investment^[1] account at any time. However, your HSA deposit account balance must first satisfy the investment threshold before additional contributions can be invested. The investment threshold is the minimum account balance required to be maintained in your HSA deposit account. You can review the investment threshold by selecting “Manage Investments” from the home page and then selecting “Set Up Investment Transfers.”

Once you log into your account, you have the ability to set up HSA investments^[1] at any time. To manage your investment, from the home page:

1. Hover over the Accounts tab and select Investment Summary from the drop-down menu.
2. To establish your investment election percentages, select “Start Investing Now.” You may be prompted to answer one of your predefined security questions.
3. To enable automated HSA investment^[1] transfers, enter a dollar amount (at or above the noted minimum) to set as your “Investment Transfer Threshold” and follow the prompts. You can change your threshold at any time.
4. View your options and follow the prompts on the Investments / Set Up Investments page to establish your investment elections.

Your investment options include a variety of mutual funds covering a wide range of asset classes, index and asset allocation funds that you may select to meet your HSA investing^[1] objectives. You can view specific fund fact sheets and prospectuses in the PNC BeneFit Plus online portal.

Yes. The Investment Auto-Transfer option allows you to set a personal investment threshold at or above the investment threshold. Once your threshold is set and your HSA deposit account balance exceeds the investment threshold by $100 or more, funds will automatically transfer from your deposit account into your investment account. Likewise, if your deposit account balance falls below the threshold by $100 or more, funds will automatically transfer from your investment account to your deposit account.

You are the owner of the HSA; the funds in the account are yours, and your account goes with you if you change employers, retire or change health plans.

Funds deposited into your HSA remain in your account and automatically roll over from one year to the next. You may continue to use the HSA funds for qualified medical expenses. You are no longer eligible to contribute to an HSA for months when you are not covered by an HDHP or after you enroll in Medicare.

Once you turn 65, you can continue to use your account tax-free for out-of-pocket medical expenses. You can also use your account to pay for things other than qualified medical expenses. If used for other expenses, the amount withdrawn will be taxable as income but will not be subject to any other tax penalties. If you have retiree health benefits through your former employer, you can also use your HSA to pay for your share of retiree medical insurance premiums. You cannot use your HSA to purchase a Medicare supplemental insurance or Medigap policy.

If you are married and your spouse is the named beneficiary, he/she becomes the owner of the account and assumes it as his/her own HSA. If the beneficiary is someone other than your spouse, or if you are unmarried, your account will pass to the named beneficiary and will cease to be an HSA. If there is no named beneficiary, the account becomes a part of your estate and will be subject to applicable taxes.