How are funds in the employees HSA typically utilized throughout the plan year?
At the beginning of each plan year, the employee will need to satisfy an annual deductible. Initially, the employee’s HSA can be used to pay this deductible. Once the deductible has been met, the insurance portion of the medical plan takes over. HSA funds can then be used to pay for coinsurance or other expenses not covered by the medical plan. At the end of the calendar year, unused funds remain n the employee’s account for use in the next plan year.
Related Questions
- If the employee’s family is not covered under the employees’ qualified HDHP, can the employee still use his or her HSA funds to pay their qualified expenses?
- How do I code an unclassified employee whose position is cut due to lack of funds but whose contract or plan doesnt call it a layoff?
- How are funds in the employees HSA typically utilized throughout the plan year?
