Health Savings Account (HSA)
When you enroll in a Healthy Focus medical plan, you have the option to open a Health Savings Account (HSA). You can contribute pretax dollars to the HSA up to the annual IRS contribution limit. You can use the HSA to pay for eligible health care expenses — tax free! The dollars that you contribute will roll over from one year to the next so you can grow your HSA balance to pay for future health care expenses.
For 2023, the maximum contribution for individual coverage is $3,850 and the maximum for family coverage is $7,750.
For 2024, the maximum contribution for individual coverage is $4,150 and the maximum for family coverage is $8,300.
Remember, this annual limit includes any contributions made by Leidos through company contributions and/or incentives earned through participation in well-being program.
If you are age 55 or older, you can contribute an additional $1,000 in catch-up contributions on a pre-tax basis via payroll deduction by enrolling in the HSA Catch-Up Plan in Workday. You also have the option of sending a personal check directly to HealthEquity. You can contact HealthEquity for more information or by phone at 1-844-373-6981.
Making Changes to your HSA Contributions
During the plan year, you may want to make changes to the amount you contribute to your HSA. You may want to:
- Put more money into your HSA to make sure you have enough money in your account to pay for an eligible expense
- Take advantage of the investment features of the HSA to build savings for health expenses in the future, or
- Reduce the amount you contribute
Whatever the reason, you can increase, decrease or stop your HSA contribution at any time during the year except December. Log into the Human Resources System, Workday, to change your contribution amount.
Health Savings Account FAQs
To open or contribute to an HSA, you must be enrolled in a Healthy Focus medical plan.
In addition, IRS guidelines dictate HSA eligibility. If you can answer YES to any of the below questions, you will still be eligible to enroll in a Healthy Focus medical plan but NOT eligible to participate in an HSA.
- Are you enrolled in Medicare or TRICARE?
- Can you be claimed as a dependent on anyone else's tax return?
- Are you or will you be enrolled in a medical plan or program in addition to a Healthy Focus medical plan such as your spouse's/partner's HMO, PPO, or POS medical plan?
- Are you or will you be enrolled in a standard Health Care Flexible Spending Account (FSA)?
Note: If you’re enrolled in an HSA, you can also enroll in a Limited Purpose FSA to cover eligible dental and vision expenses — but you cannot enroll in a standard Healthcare FSA.
Leidos may make an automatic contribution to the HSA if you are enrolled in a Healthy Focus plan, and your annual salary is $150,000 or less. The contribution will be based on your medical plan, annual salary, and eligibility date and will be made in equal installments on a per pay basis.
Plus you can also earn up to $400 in your HSA in 2023 and in 2024 by participating in the Virgin Pulse well-being program activities.
Use the HSA to pay eligible health care expenses. Visit healthequity.com for a list of eligible HSA expenses. This includes medical and prescription drug expenses, as well as dental and vision expenses that qualify as tax-deductible through the IRS but aren’t paid by the health plan.
HSAs are very unique in that you can set aside money in your HSA on a pretax basis, up to an annual limit. You can grow the money tax free. In fact, when your balance reaches $100, you can invest your HSA dollars to grow the funds for future healthcare expenses.
Finally, you can use the HSA dollars for eligible healthcare expenses tax-free. That's a triple tax advantage! Please note that tax deductibility is for federal taxes and tax treatment varies by state.