Health Savings Accounts

  • A Health Savings Account, or HSA, is a tax advantaged account designed to be used exclusively to pay for eligible medical expenses. HSAs give control back to consumers and assist in lowering healthcare costs. The funds in the account are yours, and unlike other health savings plans you don't lose unused balances at the end of each year. 
    • Contributions are tax deductible
    • Earnings are tax deferred
    • Distributions, if used for qualified expenses, are tax-free
    • Unused assets may be used for retirement without penalty after age 65
    • Account can be accessed like any normal checking account, including by debit card
    • Account rates are tiered, so the more you save the more you earn
    • $100 initial opening deposit required
    • $500 minimum aggregate average daily balance between checking, savings and time deposit accounts, or $2,500 minimum daily HSA balance, requirement to avoid a $2.50 monthly service charge fee
    • Free Online Banking, Bill Pay and eStatements
    • Free Telephone Banking
    • Free Mobile Banking
    • Free Visa Debit Card


    To be eligible for a Health Savings Account you must meet the following criteria:

    • Covered by a qualified High Deductible Health Plan
    • If covered under additional health plans, they must also be high deductible.
    • Have a minimum annual deductible of: $1,600 for yourself or $3,200 for a family
    • Have maximum out of pocket expenses for 2024 are: $8,050 for yourself or $16,100 for a family.
    • Are not entitled to benefits under Medicare
    • Are not able to be claimed as a dependent on another person’s tax return

    Contribution Limits

    Self only coverage for 2024:

    • $4,150 annual limit
    • Catchup contribution ages 55 and older of $1,000 

    Family coverage for 2024:

    • $8,300 annual limit
    • Catchup contribution ages 55 and older of $1,000

    Qualified Medical Expenses

    In order for withdrawals to be tax and penalty free they must be used for qualified medical expenses. Generally speaking these are any necessary medical and dental expense performed or prescribed by a qualified medical or dental professional.

    Examples include:

    • Medical exams
    • Dental treatment
    • Prescription medications
    • Medical equipment
    • Chiropractor
    • Vision treatment & hardware
    • Home care

    These are just a few examples. See IRS Publication 502 for a more comprehensive list of qualified expenses.


    You can roll over funds from an Archer MSA or another HSA into an HSA. Rollovers from these accounts are not subject to annual contribution limits. You must roll over the amount within 60 days after the date of the withdrawal. You may make one rollover contribution to an HSA during a 1-year period. 

    You may also authorize the trustee (the institution that holds your account) to transfer funds directly to another HSA. There is no limit to these transactions. 


    Services included for free

    What you pay for

    A $2.50 monthly service charge fee applies if you don’t maintain either a:

    • $500 minimum aggregate average daily ledger balance in all your Cashmere Valley Bank accounts, or;
    • $2,500 minimum daily balance in your HSA.

    If you satisfy either of these criteria, you will not be subject to a monthly service charge fee.

    Account Related Fees

    • Monthly service charge fee if minimum daily balance not met - $2.50
    • *OD - Paid Item Fee (per Item) (1) - $25.00
    • Stop Payment or Alert (each) (2) - $25.00
    • Box of Checks - Costs May Vary 
    *Created by check, in-person withdrawal, or electronic means other than point of sale or ATM transaction.

    (1) When you don’t have enough money in your account to cover a check or other item. These can potentially be avoided by taking advantage of Free Automatic Transfer Protection.

    (2) An order to request that the Bank not pay a check that has been written but not cashed.

    How long does it take to receive a new debit card?

    Debit cards can be printed at any branch at the time of new account opening.


    What do I do if my debit card or checks have become lost or stolen?

    To report a lost or stolen debit card, simply sign into Online Banking, navigate to the Dashboard, Card Management, select the lost card, and toggle it over to "locked" status and contact your local branch.

    Alternatively, you may call: 

    (509) 664-5453 Monday – Friday. 7:00 a.m. – 6:00 p.m. Saturday - 9:00 a.m. - 2:00 p.m.

    (888) 297-3416 After Hours Only

    To report lost or stolen checks call your local branch as soon as possible during regular business hours, or you may place a Stop Payment request yourself in your Online Banking. There is a $25 fee for each Stop Payment request.