A health reimbursement arrangement (HRA) is a stand-alone, employer-funded plan commonly combined with a high-deductible health plan. An HRA allows employers to fund an account to pay employees’ medical expenses that are not covered by insurance such as deductibles, copays or coinsurance.
Employers determine when HRA funds are available to employees, what expenses can be reimbursed, and how unused funds are disbursed upon employee termination. Reimbursements on qualified expenses are tax-deductible for the employer and tax-free for the employee. If elected by the employer, unused funds can be carried forward.
An HRA can be offered alongside an FSA to help employees offset additional qualified medical expenses.
Through Bukaty Companies' online system, FSA/HRA participants have the ability to
- obtain FSA balances,
- view HRA balances online,
- review claims status online, and
- file a claim online.
Debit card option
The debit card is one way for FSA/HRA participants to pay for eligible medical expenses. Participants can use the debit card at qualified merchants (as determined by the employer’s plan document) to pay for
- office visit copays,
- deductible-related expenses,
- prescriptions, and
- eligible over-the-counter items.
The card can be used at qualified locations nationwide, wherever MasterCard® is accepted. The debit card eliminates the hassle of paying for qualified medical expenses out-of-pocket.