HRA/LHRA

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HRA

An HRA is a tax-free, employer funded plan that allows the employer to make funds available to employees for reimbursement of qualified healthcare expenses.

These IRS approved Section 105 plans provide employee reimbursements of eligible Section 213 expenses.

Designed properly, employers and employees all enjoy cost savings in a difficult healthcare environment.

 

LHRA

A Limited Health Reimbursement Account (LHRA) covers only a group of expenses such as dental or vision. It can also be restricted to a single medical expense such as prescriptions.

When combined with an (HSA) Health Savings Account, an LHRA can pay for HSA deductible expenses after the government minimums are met.