As a business owner, you understand the importance of ensuring financial stability for your organization. When you open a business savings account at West Gate Bank®, you are establishing a safe place where your reserves can flourish. Plus, deposits are reinvested in the community to promote economic strength.
Designed for businesses that want to build a savings fund, this account ensures cash reserves are readily accessible.
- No monthly service charge
- $10 minimum balance ($2.50 monthly fee imposed every statement cycle if balance falls below $10 any day of the month)
- Interest is calculated using the daily balance method and is paid quarterly
- Free Online Banking
- Free Bill Pay
- After 6 free monthly withdrawals, additional withdrawals are $0.50 each
- Only $10 to open account
Business Money Market Account
With this savings option, businesses that maintain higher account balances are rewarded with a higher rate of interest.
- No monthly service charge
- $500 minimum balance ($6 monthly fee imposed every statement cycle if balance falls below $500 any day of the statement cycle)
- Interest paid on all balances, calculated using daily balance method, and paid monthly
- Unlimited ATM withdrawals worldwide^
- Free wallet checks for life of account
- Free Debit Card
- Free Online Banking with InstAlert
- Free Bill Pay
- Free Mobile Banking with Mobile Deposit
- After 6 free monthly withdrawals, additional withdrawals are $3.00 each
- Only $50 to open account
^Other institutions may impose a fee for the use of their ATMs.
Certificates of Deposit (CDs)
If you are looking to maximize money and grow you business' cash reserve, CDs are available for various terms at competitive rates.
- $1,000 minimum deposit
- Additional deposits are not permitted
- Fixed rate - the interest rate* and annual percentage yield* will not change for the account term, unless otherwise stated
- Interest calculated using the daily balance method - a daily periodic rate is applied to the principal in the account daily
- CDs automatically renew (you will have 10 calendar days after the maturity date to withdraw funds without penalty)
- Early withdrawal penalty: $100 fee and the loss of 12 months interest, earned or not; regardless of the term
- Receive premium rates on all CDs if your primary checking account is with West Gate Bank®
*Annual percentage yield = received when funds remain in the account (interest is not taken out). Interest rate = received when interest is received by the customer, rather than allowing the interest to remain in the account.
Health Savings Accounts
Combat rising healthcare costs with a Health Savings Account (HSA). Designed exclusively for covering medical expenses, HSAs can provide significant tax benefits to eligible individuals. HSA contributions made by an employer or employee are excluded from income. HSA earnings are tax-deferred and HSA assets are not taxed if used for qualified medical expenses. Unused HSA assets may be used for retirement; however, they will be subject to a 20% penalty until the HSA beneficiary turns 65. If the funds are not used for medical expenses, they will be subject to income taxes.
- You must be covered by a high deductible health plan (HDHP)
- You cannot be covered by any other health plan that is not a HDHP
- You cannot be enrolled in Medicare
- You cannot be claimed as a dependent on another person's tax return
- The following table highlights the 2021 and 2022 limitations:
|Year||HSA Annual Contribution Limit*||HDHP Minimum Annual Deductible||HDHP Maximum Out-of-Pocket Expense|
*Plus $1,000 per year if age 55 or older
In order for your assets to retain their tax-free status, they may only be used for certain expenses, including:
- Actual medical expenses, including doctor's visits, prescriptions, transportation to get medical care, and dental care
- Long-term care insurance
- Certain continuation of benefit health care coverage
- Certain health insurance after age 55
Non-qualified use of HSA assets are subject to taxation and a 20 percent penalty unless the HSA account holder is 65 or older, dies, or is disabled.
HSAs require the following government reporting:
- HSA holders must report all contributions (credits) and distributions (debits) on their individual tax returns.
- An employer contribution is reported on a business tax return, as well as the W-2 form of any employee receiving a contribution.
- All contributions and distributions from any HSA are also reported by the custodian or trustee where the HSA is held (i.e. the bank)