If we as an employer fund an HSA with $200 up-front, and make quarterly deposits, but the employee has viable expenses before the next quarterly contribution; what happens?
This is not an ideal situation, obviously, but there are things that can be done to make it less catastrophic. For example, someone has a $10,000 surgery with a $2,200 deductible. The surgery is in March and they receive the bill in May. Under the funding scenario above, they have $621.80 in their HSA but their bill is $2,200. Almost all facilities would be willing to work out a payment plan. He/she could make an initial payment and then pay as successive contributions are made. Or, they could choose to pay out of their personal checking account and then reimburse themselves from their HSA later in the same year. It is very important to keep all supporting documentation when dealing with medical accounts of any type, not only HSAs.
Related Questions
- If we as an employer fund an HSA with $200 up-front, and make quarterly deposits, but the employee has viable expenses before the next quarterly contribution; what happens?
- Can an employee be eligible for other coverage from an employer and still be eligible to make or receive contributions to an HSA?
- Who Can Administer an HSA?
