Qualified Small Employer Health Reimbursement Arrangement (QSEHRA)
\nSmall employers can reimburse their employees for health insurance premiums and medical expenses, tax-free!
\nQSEHRA allows small employers (fewer than 50 full-time-equivalent [FTE] employees) to set aside a fixed amount of money each month that employees can use to purchase individual health insurance or use on medical expenses, tax-free. This means employers get to offer benefits in a tax-efficient manner without the hassle or headache of administering a traditional group plan and employees can choose the plan they want.
\n\nHow it works
\nThe mechanics of a QSEHRA are surprisingly simple. At a high-level, employees pay for their own health expenses and you reimburse them. Here’s how it works:
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- Employers design their plan and set reimbursement allowances \n
- Employees pay for their own health insurance and medical bills \n
- Employees provide proof of their expenses \n
- Employers reimburse the employee up to the set limit \n
The key to note is payments are reimbursements. Employees will pay the insurance company or doctor’s office directly and then submit a claim to get reimbursed for their expenses tax-free.
\n\nTri-Star Service Highlights:
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- For businesses not offering group coverage with fewer than 50 FTE employees \n
- Automated QSEHRA benefit compliance \n
- Reimburse health insurance premiums as well as out-of-pocket medical expenses \n
- Vary allowances by family status \n
- No minimum employer contribution requirements \n
- Automated QSEHRA employee reimbursement limit management \n
QSEHRA Features:
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- Online benefits portal for administrators and employees \n
- Automated benefit compliance documents \n
- Dedicated customer success manager for administrators \n
- Employee onboarding and education \n
- Employee access to team of personalized health benefits experts \n
- Expense review and verification \n
- HIPAA medical privacy law compliance \n
- Premium and expense verification within 2 business days \n
- Mobile access for user-friendly expense documentation upload \n