Q.- We are offering a High Deductible Health Plan with an HSA. What are the requirements for an employee to participate in the HSA?
A.- To contribute to an HSA, an employee must satisfy the following requirements:
- Be covered under a high deductible health plan (HDHP)
- Not be enrolled in Medicare
- Not be claimed as a dependent on someone else’s tax return
- Not have any other health coverage. This means
- No other coverage besides the HDHP
- No participation in a health FSA (exception for a limited-purpose health FSA)
- Spouse cannot participate in a health FSA (exception for a limited-purpose health FSA)
- No carryover from participating in a FSA (exception for a limited-purpose health FSA)
- Spouse cannot have a carryover from a prior year’s health FSA (exception for a limited-purpose health FSA)
- No participation in an HRA
- Spouse cannot participate in an HRA
Benefit Allocation Systems (BAS) provides best-in-class, online solutions for: Employee Benefits Enrollment; COBRA; Flexible Spending Accounts (FSAs); Health Reimbursement Accounts (HRAs); Leave of Absence Premium Billing (LOA); Affordable Care Act Record Keeping, Compliance & IRS Reporting (ACA); Group Insurance Premium Billing; Property & Casualty Premium Billing; and Payroll Integration.
MyEnroll360 can Integrate with any insurance carrier for enrollment eligibility management (e.g., Blue Cross, Blue Shield, Aetna, United Health Care, Kaiser, CIGNA and many others), and integrate with any payroll system for enrollment deduction management (e.g., Workday, ADP, Paylocity, PayCor, UKG, and many others).
