In this video, Luke explains how a Health Reimbursement Account (HRA) works. Below are some key takeaways:
- HRAs are entirely employer-funded accounts for employee healthcare expenses.
- They are designed to reimburse employees for out-of-pocket medical costs, not to collect contributions from them.
- HRAs can significantly reduce the financial impact of high deductibles on employees.
- The specifics of HRA reimbursement and eligible expenses can vary, so employees should familiarize themselves with their particular plan details.
- Understanding your HRA’s structure and rules is essential for maximizing its benefits.
