Health Reimbursement Arrangement (HRA)

A Health Reimbursement Arrangement (HRA) helps employees keep healthcare costs under control by allowing them to take advantage of lower premiums offered by high-deductible medical plans.

A Creative Way to Contribute to Healthcare Expenses

HRAs have been the best option for healthcare benefits in the household employment industry for many years – whether you use an HRA as a standalone option or combine it with a qualified group health plan.

They are flexible, convenient, and cost-effective, and offer such benefits as:

Freedom of choice to help control healthcare costs for your employee
Control in making your employee accountable for the management of their medical treatments
Convenient roll-over feature so you don’t lose your contributions at the end of the year or when an employee leaves
Flexible budget options with contribution amounts that you determine
Versatility: An HRA can be used alongside other savings accounts and healthcare options and can be used to fund insurance premiums and deductibles
Popular with employees: HRAs use employer contributions, not employee salary deductions

Through our affiliate GTM Insurance Agency, setting up an HRA is straightforward. We’ll support you through the whole process, from defining the amount you want to contribute to providing your employees with information about reimbursable medical expenses and submitting claims, to tracking the status of the account.

Looking for some other health benefit ideas? Check out these options or download our Employee Benefits Overview (PDF).

Health Insurance & Benefits Options Comparison Chart

This chart will help you compare the various plans and select one that will best meet the needs of your nanny. These are contribution rates for 2024.

	FSA	HRA	HSA	QSEHRA	ICHRA	POP
Employer funded
Employer tax savings
Employee funded
Employee tax savings
Covers out-of-pocket expenses
Covers insurance premiums
Used to purchase health insurance
Contribution limits	$3,200	No limit	$4,150 single $8,300 family	$6,150 single $12,450 family	No limit	No limit
Pairings	N/A	Group plan	High-deductible plan	Individual plans	N/A	Group plan
Coverage restrictions	None	Must cover at least two employees	None	None	None	None