flexibility, and medical services covered. While traditional health benefits options may seem out of reach, a more flexible and increasingly popular option is available: thehealth reimbursement arrangement(HRA).
A health reimbursement account or arrangement (HRA) is true to its name: Your employer funds the account so you can reimburse yourself for certain medical, dental or vision expenses. As an account-based health plan, an HRA can help you stretch the value of your health care do...
One common type of benefit allowance that’s considered a formal health plan is a health reimbursement arrangement (HRA). This tax-free, IRS-approved health benefit is made with legal plan documents. There's also a type of healthcare benefit allowance that doesn't need plan documents, which ...
What is an HSA? What is an HSA? An HSA, or health savings account, is a plan where individuals put aside pre-tax dollars to use on qualifying medical expenses, like copays, prescribed medicine, and medical equipment. Individuals must be enrolled in a high-deductible health plan to open ...
And any balance can roll over from one plan year to the next. This is different from a flexible spending account, which is a "use it or lose it" proposition. Contributions to an HSA can also be used to pay for qualified medical expenses for a spouse or dependent child, even if they'...
An HRA, or Health Reimbursement Arrangement, is an IRS-approved employer-funded health benefit account that can be used to reimburse employees for qualified medical expenses. Importantly, employers can choose to offer an HRA as an alternative to traditional group health insurance, or as a ...
it is taxed. To participate in an HRA, you may have to enroll in ahealth insurance plan. You may also be able to use the funds from the HRA for family members, but they might need to be enrolled in a health plan also. In some cases, HRA funds may be used to pay monthly fees....
1 Per IRS guidelines in 2025, an HDHP is a health insurance plan with a deductible of at least $1,650 if you have an individual plan or a deductible of at least $3,300 if you have a family plan. The deductible is the amount you'll pay out of pocket for medical expenses before ...
A health reimbursement arrangement (HRA) is an employer-funded plan that reimburses employees for medical expenses and, sometimes, insurance premiums.
An HSA is a savings account for medical expenses. It requires a high-deductible health plan but offers tax-free contributions and withdrawals, potentially saving you money long-term.