A Health Spending Account (HSA) is a cost-effective way to provide medical and dental benefits to employees. The benefits offered through this plan are fully tax deductible to the business and received 100% tax free by the employees. With an HSA, there are no hidden fees or premiums.
An HSA can also compliment existing benefit programs already in place with insurance companies. The use of an HSA allows employers to mitigate increasing benefit costs while adding much needed flexibility.
If you are seeking a fund-as-you-go benefits program for your employees that is flexible and offers the business significant tax advantage, an HSA is a good way to go.
An HSA offers tax free medical, dental and vision benefits to your employees, while allowing businesses to write off 100% of the related costs.
Best of all, you don’t have to shoulder the administration burden. GBL will partner with you to handle the details.
If you are looking for a self-administered plan, we also offer Health Benefit Plans (HBP) which offer the same coverage and deductibility, but administered by your corporation directly. More information on the HBP can be found here.
Your employees can claim for any medical expense allowable under the income tax act (ITA). The list is extensive and comprehensive, with a range of allowable benefits that is larger than what is provided through a typical group benefit plan. Employees can also use an HSA for co-insurance and to cover deductibles included in a current group benefit plan.
A full listing of eligible medical expenses can be found on the Canada Revenue Agency (CRA) web site.
Employers can choose to have unused benefits at the plan year-end carry over for a period of one calendar year, or have the plan reset completely at the beginning of each calendar year.
The company sets up an HSA through GBL at which time employees are enrolled in the plan and an online account is activated for the company and its employees.
Employees make their benefits claims through an online web portal, or through a mobile app. Employees receive reimbursement of approved claims deposited directly to their bank account, with no hassle!
GBL provides support and expertise to help establish and maintain the plan – we are here to help!