How to Reduce Your Health Care Costs
A Side-By-Side Comparison of Flexible Spending Accounts (FSA), Health Reimbursement Arrangements (HRA) and Health Savings Accounts (HSA)
Unfortunately not all employers are equally qualified when it comes to managing their health care plans. Many recent studies have all come to the same conclusion - some employers manage their plans better than others. The difference in plan performance cannot be explained by demographics, location or plan coverage. So why is it that one plan does better than another? The answer is simple. The plans that perform better are addressing three main areas that can positively affect costs: chronic disease management, providing cash incentives to alter employee behavior and effective communication and administration of the plan.
Our expertise will help answer tough questions like:
- Can an S-Corp shareholder participate in an HSA and not offer the benefit to the rest of their employees?
- Can account funds from an FSA be used for non-medical expenses?
- Can an employee still receive reimbursements from an HRA after they leave the company?
The interaction of each of these plans is complicated and quickly changing. To view the side-by-side comparison of these plans, please click here for the full article.
Do you need more detailed information? PrimePay can help you determine which plan is best for your business by drawing on our 70 plus years of combined experience in the area of Flexible Compensation. We utilize analytical and quantitative tools to help tailor a strategy for your business. Please contact your local PrimePay office at your earliest convenience with any questions you have.
