As an employer, you recognize that a cost-effective, valued-added benefits package can help you reduce costs and retain key employees. You can count on Bank of America Health Benefit Solutions to provide consumer directed healthcare accounts that give your employees choice and greater control over their healthcare spending. Our health care account benefits specialists work closely with you and your employees, providing participants with the tools and support designed to help ensure successful enrollment and participation.
Health Savings Account (HSA)
Our HSA is truly portable and stays with your employees whether they change health plans, move to a new job or retire. With The HSA for Life®1, employees can save for current or future qualified medical expenses on a pre-tax basis and have more control over how their healthcare dollars are spent. In addition, the assets in an employees' HSA account do not expire and are available to pay for qualified medical expenses.
Health Reimbursement Arrangement (HRA)
With an HRA, you decide the contribution amount and eligible healthcare benefits for employees. Your employees can then access funds to pay for qualified medical expenses not covered in your health plan. As a result, you may be able to enjoy tax savings and more efficient cash flows.
Flexible Spending Account (FSA)
The Health FSA2 allows your employees to plan ahead for yearly medical outlays by allowing them to set aside pre-tax money on an annual basis. Employees can use the money to pay for qualified medical expenses incurred during that year. And because Bank of America Health Benefit Solutions streamlines the claims process, the paperwork for you and your employees is greatly reduced, typically fostering higher adoption rates across your organization. Employees also have the option to contribute pre-tax dollars to a Dependent Care FSA to pay for childcare and adult care expenses as well.
1 Bank of America, N.A. makes available The HSA for Life® Health Savings Account as a custodian only. The HSA for Life is intended to qualify as a Health Savings Account (HSA) as set forth in Internal Revenue Code section 223. However, the account beneficiary establishing the HSA is solely responsible for ensuring satisfaction of eligibility requirements set forth in IRC sec 223. If an individual/employee establishes an HSA and s/he is not otherwise eligible, s/he will be subject to adverse tax consequences. In addition, an employer making contributions to the HSA of an ineligible individual may also be subject to tax consequences. We recommend that applicants and employers contact qualified tax or legal counsel before establishing an HSA.
2 Health FSA plans may permit a maximum of $500 of unused amounts remaining at the end of a plan year in a Health FSA to be carried forward to the subsequent plan year and used for qualified healthcare expenses incurred in subsequent years. Any amounts remaining in the plan from the previous year that exceed the $500 maximum (or a smaller amount as per the plan document) are forfeited. This is a voluntary provision; employers do not have to offer the carry forward option or the grace period as part of their plan.