A Health Spending Account is a Canada Revenue Agency approved method to provide medical, dental, and vision benefits to your employees in a tax-efficient manner. Your business can write off 100% of the costs related to your Health Spending Account and all expenses are reimbursed to the employee tax-free.
Types of Covered Expenses:
The employee may claim any medical expense allowed under the Income Tax Act
As an employer, you have complete control over which employees are covered and the amount they have to spend
The employees are sorted into class at the beginning of the benefit term, coverage limits are set on criteria designed by you and your broker
Employees can be added or removed from the HSA at any time
What is the cost?
No set up fees
No monthly fees
No fees for additions/deletions of employees
The only fee applied is the administration fee set by the broker
How often do I have to contribute?
Pay as you go
Withdraws are only made from the employer's bank account when a claim is made