Real answers for your healthcare questions
What is the difference between an HSA, FSA, and HRA?
Answer
HSAs, FSAs, and HRAs can all help pay healthcare expenses, but they are structured differently. An HSA is owned by the individual, an FSA is generally an employer sponsored spending account, and an HRA is funded by the employer to reimburse eligible expenses.
What to Know
HSAs require HSA eligible high deductible health plan coverage and can generally roll over indefinitely. FSAs usually follow plan specific use and carryover rules, and the employer controls the plan. HRAs are employer funded and can take several forms, including arrangements that reimburse individual insurance premiums.
What to Do Next
Look at ownership, contribution rules, rollover, eligible expenses, and what happens when employment ends. Your employer's plan documents and current IRS guidance should be the final source for how a specific account works.
Agent Perspectives
Be the first agent to share a perspective
Are you a licensed agent? Help clients with practical advice. Your name and profile appear with your answer.