Follow Us:
Each plan offers tax-savings to employers and employees alike, but they differ in many important aspects, especially regarding how contributions and payments are made. The chart below compares FSAs, HRAs, and HSAs. Barham Benefit Group can work with you to select the best plan for your particular situation.
| Criteria | FSA | HRA | HSA |
| Overview | Employees pay for medical expenses tax-free. Eligible expenses include deductibles, co-pays, and other services not covered by insurance. | Employer determines which services are covered and controls the funds. | Employees have an account that allows them to save and pay for medical expenses tax-free. Requires enrollment in an HDHP. |
| Contributions | Employeecontributes via payroll deductions. Employers may also make contributions. | Employer makes the contributions. | Employees can deposit funds directly or via payroll deductions.Employers may also contribute. |
| Account Owner/Portability/ Yearly Rollover | Employer-owned. Account is funded on a yearly basis. Funds not used by employee within a year are returned to the employer. | Employer-owned.Unused funds from a year can usually be rolled over to next year but the if the employee changes jobs, the funds remain with the employer. | Employee-owned.Unused funds can be rolled over to the next year. If employee leaves company, he or she can keep the funds and use them for future medical expenses. |