If you have a Health Savings Account (HSA), or you’re considering opening one, you’ll want to plan how to use that account with this health benefit to get the best of both worlds.
What’s the difference?
A Health Savings Account (HSA) is an account that belongs to you with funds that you can keep. You make payments directly from the account for medical expenses.
Your PeopleKeep health benefit (HRA) is a reimbursement benefit where your employer promises to reimburse you for certain eligible expenses. Though HSAs are very similar, there are a few differences, like:
- An HSA can’t cover insurance premiums while your HRA can.
- An HSA would be owned by you while your HRA is owned by your employer
- Money in an HSA can roll over indefinitely, while the money in your HRA won’t roll over into the next year.
When do I have to coordinate my HRA with an HSA?
If any of the following events happened in the calendar year, your PeopleKeep benefit is considered limited-purpose and you will need to coordinate your PeopleKeep health benefit for the same calendar year:
- You contributed to an HSA you own
- Your spouse contributed to an HSA they own
- An employer contributed to an HSA you, or your spouse owns
Turn on HSA coordination in your account by clicking on your name in the top right, then selecting "HSA Status." After you save changes you can click the SEE WHAT’S ELIGIBLE button on your Dashboard. This will help you see what's eligible with an HSA.
What expenses are eligible while I have an HSA?
Your limited-purpose PeopleKeep reimbursement benefit can reimburse you for expenses, including:
- Health insurance policies (medical, dental, vision, etc.) - If you pay directly to the insurance company can be reimbursed through your HRA with PeopleKeep. If you have insurance coverage through your spouse’s employer and those are paid with payroll deductions, consider using your HRA for the other expenses listed below.
- Long-term-care policies
- Wellness/preventive care (checkups, mammograms, smoking cessation, weight loss)
- Dental policies and expenses - From dental insurance to dentist visits; orthodontia to root canals, all non-cosmetic dental expenses can be reimbursed through your PeopleKeep benefit.
- Vision policies and expenses - All vision expenses, such as optometrist visits, glasses, prescription sunglasses, contacts, etc. are another great way to maximize your HRA through PeopleKeep.