HSA's, HRA's and FSA's
HSA (Health Savings Account)
HRA (Health Reimbursement Arrangement)
FSA (Fexible Spending Account)
Health Care FSA
Dependent Care FSA
Limited Purpose FSA
What kind of account is it?
A savings account that can only be used to pay for covered health care costs (compatible with a High Deductible Health Plan).
A reimbursement account set up and funded by the employer to help employees pay for eligible health care costs.
An account that is used to pay for eligible health care costs for employee and covered dependents.
An account to help pay for eligible dependent care services for employees' covered dependents such as children under age 13 or disabled dependents of any age.
An account that is used to help pay for eligible dental & vision costs for employees and their covered dependents when paired with an HSA.
Who is eligible to enroll?
Anyone enrolled in a qualified HDHP.
Anyone who is part of an employer sponsored health plan.
Any employee with an employer plan that includes a FSA.
Employees with dependents age 12 and under or disabled dependents of any age.
Employees enrolled in a HDHP. Can also be combined with an HSA.
Account owner
Employee
Employer
Employer
Employer
Employer
Who contributes?
Employer, employee, emplees's covered dependants
Employer
Employer and employee
Employer and employee
Employer and employee
Is there a limit to the dollar amount that can be put in?
Yes (up to IRS limits)
Amount set by employer
Yes (up to IRS limits)
Yes (up to IRS limits)
Yes (up to IRS limits)
Can the balance carry forward to next plan year?
Yes
Employer decides if carry over is allowed or determines the amount that can be carried over.
Depending on the plan, employee may be able to carry over up to $500 to next plan year.
No. Dependent Care FSAs are a use or loose it benefit.
Depending on the plan, employee may be able to carry over up to $500 into the next plan year.
Can the employee take take the account with them when they leave the company?
Yes
No
No
No
No
Can the account earn interest?
Yes
No
No
No
No
Can the money in the account pay for COBRA or other plan premiums?
Yes (per IRS guidelines)
Employer determines if money can be used for COBRA or other premiums
No
No
No
Can the money be used for non-qualified or non-eligible health care expenses?
If employee is under age 65 the money is subject to income tax as well as any applicable penalty tax. At age 65 or older, employee can take penalty-free distributions from the HSA for any reason.
No
No
No
No