Your Tango HSA will be funded through deductions you make from your Insperity payroll. The amount you choose to contribute to your HSA can be modified on a monthly basis to meet your changing needs.
First, your HSA must be open in order to see a payroll deduction change. Once it is open you can login to Tango Health and submit a payroll deduction change request. Once your deduction is approved you will receive an email with the effective date of that deduction. The effective date refers to the working dates for which you are being paid (rather than the payday). You will see the deduction in your paycheck when you are being paid for days worked that include the effective date.
Example 1: Your HDHP eligibility date is March 1. You open your HSA on February 20. You submit a payroll deduction change on February 25 and receive an email confirming your deduction on February 26th with an effective date in the email of February 26th. You are paid on March 5th for days between February 14th and February 28th. In this situation your deduction will not be seen on your March 5th paycheck because you are being paid for days prior to when you were eligible.
Example 2: The same situation but instead you are paid on March 14th for days worked between March 1st and March 14th. In this situation you would see the deduction on your March 14th paycheck because the deduction was made before the pay period (and went into effect on February 26th).
Example 3: In this situation you became HSA eligible on March 1st but don’t make a deduction request until March 16th. You receive an email confirming this request and showing an effective date for the deduction of March 17th. On March 14th you are paid for days worked between February 14th and February 28th. On the March 14th pay check you would not see any contribution to your HSA because the days you are being paid for are before you were HSA eligible. On March 31st you are paid for days worked between March 1st and March 14th. Again, you would not see any deduction because the effective date of the deduction is March 17th and outside of the days you are being paid for work. Assuming you didn’t change your deduction, you would only see the deduction on the next pay check.
Additionally, the payroll deduction will be deposited in your HSA account on the third business day after your pay date and only visible in Tango four business days after your pay date. The timing of payroll deductions or deduction posting shouldn’t prevent you from realizing any tax savings. To find out how to handle a situation in which you don’t have enough money in your HSA, see our forum post What If I Don’t Have Money In My HSA?