If I have a Health Care FSA and a Health Reimbursement Arrangement (HRA) through BlueCross BlueShield of Tennessee, which account will be used first?
The Health Care FSA and HRA, while separate accounts, provide reimbursement of qualified medical expenses as defined by your employer and the IRS (i.e., deductibles, coinsurance, prescription expenses). Should you have both accounts, expenses eligible under both plans will be reimbursed through the HRA first, then default to the FSA, The HRA will pay first, unless your employer specifies that the FSA will pay prior to the HRA. One reason to have the FSA pay first is because unused FSA money does not carry over. Can I have both a Health Savings Account (HSA) and an FSA? Federal regulations prohibit employees from participating in both a Health Savings Account (HSA) and a traditional Health Care FSA concurrently. Employers may add a Limited-Purpose FSA for HSA-Compatible High-Deductible Health Plan (HDHP) participants, which limits FSA reimbursements to dental and vision expenses only.
Related Questions
- If I have a Health Care Flexible Spending Account (FSA) and a Health Reimbursement Arrangement (HRA) through BlueCross BlueShield of Tennessee, which account will be used first?
- If I have a Health Care FSA and a Health Reimbursement Arrangement (HRA) through BlueCross BlueShield of Tennessee, which account will be used first?
- Can I roll over my Flexible Spending Account (FSA) or Health Reimbursement Arrangement (HRA) account balance to an HSA?
