Question |
FSA |
HRA |
HSA |
| Does the employee own the
money in the account? |
100% vested
in their own deposits. Use it or lose it. |
Generally
no. However, the employer can include employee
vesting. |
Yes |
| Can the money be invested
and the employee earn interest? |
Generally,
no. |
Generally
no, but if employer funds are vested with the
employee, such funds may be invested by the
employee. |
Yes |
| Can the employee use the
funds for things other than medical expenses? |
No |
No |
Yes |
| Can the employee take the
money with them when they change jobs? |
100% vested
in their own contributions. |
Generally
no. However, if vested the employer may allow
fund portability. |
Yes |
| How can the employee access
funds? |
Generally
through claims reimbursements or the use of
a debit card. |
Generally
through claims reimbursements or the use of
a debit card. |
Generally
through claims reimbursements or the use of
a debit card. |
| Who can contribute to the
account? |
Employee
and employer. |
Employer
only. |
Employee
and employer. |
| Who is eligible? |
Employers/employees. |
Employers/employees.
No restrictions on plan size or statutory benefit
design. |
Individuals/employers
of any size who have established a qualified
HDHP and are under age 65. |
| Does the account require
a plan modification or a high deductible health
plan? |
No |
No, but an
HRA is usually funded through some form of plan
design modification; usually a higher deductible. |
Yes; a qualified
HSA requires a High Deductible Health Plan (HDHP)
that satisfies IRS requirements. |
