The Benefits of an HRA include:
- Tax-free money — You get to use tax-free, employer-provided dollars to pay for your health care expenses.
- Works with an FSA — You can have both a health care Flexible Spending Account (FSA) and an HRA at the same time. This means more ways to save money! Expenses will be paid out of FSA first, HRA second.
- Accounts — The balance in your HRA rolls over from year to year as long as you remain enrolled in the HRA for consecutive years. The maximum account balance or rollover cap for the HRA is $20,000, regardless of the tier of coverage.
- Savings for retirement – Your balances are transferred to a Retirement Health Savings Account at ICMA upon retirement or separation from County employment.
Coordination of Benefits:
If you have an HRA and a Health Care FSA, your eligible expenses will be paid from your Health Care FSA first. Once you use your Health Care FSA funds, your eligible expenses will be paid from your HRA.