Healthcare Reimbursement Account

The cost of health care is a growing concern for retirees, a Post-Employment Healthcare Reimbursement Account (HRA) can help bridge the gap between retirement and Medicare to help cover medical premiums and other medical costs.

Features & Benefits

Employers can fund the program
No program fees for employers
Utilize unused PTO or sick pay
Contributions can be tax free
Free for 457(b) participants
Earn interest
Choice of mutual funds

Funds

Forms & FAQs

Note:

Our representatives may not give legal or tax advice. Please consult your attorney or tax advisor for answers to your specific tax questions.
Your North Shore Bank 457(b) Plan can be funded by both FDIC Insured North Shore Bank certificates of deposit and/or non-bank investments provided through Heartland Funds.
Investments held in North Shore Bank CDs are FDIC insured.
However, investments other than North Shore Bank CDs are NOT a deposit or other obligation of the bank or its affiliates; NOT insured by the FDIC or any other agency of the United States; are subject to investment risk, including possible loss of value.

Frequently Asked Questions

What are the minimum and maximum amounts I can shelter?: The minimum deferral is $10.00 per pay period. The maximum deferral may change annually. As of tax year 2018, the maximum shall not exceed the lesser of 100% of “includable compensation” for the year or $18,500.
What costs are involved in a deferred compensation plan?: Since the inception of the North Shore Bank Deferred compensation program, the bank has assessed no service charges or administrative fees for funds allocated to a North Shore Bank Certificate of Deposit. A small annual asset fee is incurred when funds are allocated to the mutual fund options.

Note:

Our representatives may not give legal or tax advice. Please consult your attorney or tax advisor for answers to your specific tax questions.

Your North Shore Bank 457(b) Plan can be funded by both FDIC Insured North Shore Bank certificates of deposit and/or non-Bank investments provided through TransAmerica Funds.

Investments held in North Shore Bank CDs are FDIC insured.

However, investments other than North Shore Bank CDs are NOT a deposit or other obligation of the bank or its affiliates; NOT insured by the FDIC or any other agency of the United States; are subject to investment risk, including possible loss of value.
How are my Section 457 distributions paid to me when I retire?: Distributions are not required at the time of retirement, but are required beginning in the year you attain the age of 70½ years. However, you may select to take your distribution at termination of employment as a lump sum, monthly, quarterly or annual payment. You may also choose to roll over your funds as permitted in your plan document. North Shore Bank will assist you in structuring your repayments to meet your individual needs and goals.
May I participate in a Section 457 plan in addition to other retirement plans?: You may participate in this plan in addition to Roth and Traditional IRAs as you qualify.

Healthcare Reimbursement Account

Frequently Asked Questions

What are the minimum and maximum amounts I can shelter?

What costs are involved in a deferred compensation plan?

How are my Section 457 distributions paid to me when I retire?

May I participate in a Section 457 plan in addition to other retirement plans?