HSA Characteristics

If you would like to open an account please visit any one of our 31 branches.
Tiered Interest: $0-$999.99
$1,000-$2,499.99
$2,500-$9,999.99
$10,000 & above
Debit MasterCard®: Free
Service Charge: $3.00 per month
*$1.50 per month if customer has an LCNB Checking Account
Statements: E-Z Statement $0
Paper Statement $3.00
Minimum Balance: $0
Set Up Fee: $0
Withdrawals: Free
Opening Deposit: $50.00


A Health Savings Account (HSA) is a tax-favored trust or custodial account established exclusively for the purpose of paying qualified medical expenses of you, your spouse and your dependents.


You are eligible to open an HSA Checking account if you:


1. Are currently covered under a high-deductible health plan (HDHP).
2. Are not also covered by any other health plan that is not an HDHP*.
3. Combined balances include funds in checking, savings, CD's, and IRA's.
4. Are not enrolled in Medicare.
5. Cannot be claimed as a dependent on another person’s tax return.


A health plan qualifies as a High Deductible Health Plan if the annual minimum deductible is at least $1,200 for single coverage or $2,400 for family coverage and the maximum out-of-pocket limit is $6,050 for single coverage and $12,100 for family coverage for 2012. For 2013, the minimum deductible is $1,250 and the maximum out-of-pocket limit is $6,250 for single coverage. For family coverage the minimum deductible is $2,500 and the maximum out-of-pocket limit is $12,500. These figures are adjusted for inflation each year.

For tax year 2012, contributions are limited to $3,100 for single coverage and $6,250 for family coverage. For tax year 2013, the contribution limit for single coverage is $3,250 and $6,450 for family coverage. A catch-up contribution of $1,000 is available to persons age 55 and older. The contribution limits are adjusted for inflation each year. Contributions may be made for the prior tax year until April 15.

You can make no further contributions after age 65; however, the account may remain open

The Health Care Reform Bill of 2010 made two changes to Health Savings Accounts. Effective January 1, 2011, it will no longer be permissible to use the HSA to pay for over the counter medications and other non-prescription drugs without a prescription. Also, the penalty for non-qualified distributions will increase from 10% to 20%.

Notes and Disclosures