health spending acccount?

I think you would have to call them. Never hurts to ask.

Its your money tucked away, but I believe there are guidelines determining what you can use it for as in conventional medical treatments vs non-conventional.

Supplements / herbs are typically considered non-conventional.

I think it's a Canadian thing, isn't it where an employer puts money in an account for you?

See https://www.irs.gov/pub/irs-pdf/p969.pdf for info. There are a variety of these types of accounts, and I'm not sure which you are talking about.

Yes, there are restrictions on what you can spend the money on, although I think some are more strict than others. Mostly, medical supplies (bandages, crutches, special medical pillows, etc.) and doctor/dentist visits are covered; not sure about naturopathic, chiropractic, acupuncture, etc.

You may need to contact your Human Resources representative if your health spending account is through work, as there may be specific guidelines they impose in addition to the IRS guidelines.

Its American tax free savings account, astroman described it perfectly. A lot of employers are heavily promoting it now as a way to "supplement" insurance (that is inadequate). I have used it in the past for dental work I knew I would be having, to make sure I didn't lose the balance.

I was just wondering if anyone had experience using it to cover some of the lyme treatment expenses and if there were special hoops to jump through to use it correctly. You actually get a separate debit card that is linked to the savings account. But it is possible for them to retro deny a charge (or at least it was)...anyway, it was just a random thought. The savings of taxes on $1500 isn't significant, but the habit of putting that money away and to use can be helpful in budgeting treatment.

Would anyone be able to share what they think the cost is monthly for Buhner's herbal protocol?
I know it varies by supplier, and individual treatments etc. I am working on a spreadsheet to calculate the cost at full dosage, but it is going to take me a couple days.

MistyLaird said...
Its American tax free savings account, astroman described it perfectly. A lot of employers are heavily promoting it now as a way to "supplement" insurance (that is inadequate). I have used it in the past for dental work I knew I would be having, to make sure I didn't lose the balance.

I was just wondering if anyone had experience using it to cover some of the lyme treatment expenses and if there were special hoops to jump through to use it correctly. You actually get a separate debit card that is linked to the savings account. But it is possible for them to retro deny a charge (or at least it was)...anyway, it was just a random thought. The savings of taxes on $1500 isn't significant, but the habit of putting that money away and to use can be helpful in budgeting treatment.

Would anyone be able to share what they think the cost is monthly for Buhner's herbal protocol?
I know it varies by supplier, and individual treatments etc. I am working on a spreadsheet to calculate the cost at full dosage, but it is going to take me a couple days.

If you dont use it all in that year, what happens to it nowdays? Lose it all, or taxed and then distributed back to you as part of your normal income?

Thank you PeteZa!

Astroman - I am not sure, I didn't sign p for it this past year. But I am talking to my HR benefits person later today, to get info on the "managed" portion we have. I will find out what I can about the general rules that apply to all and approval process (for charges).

Does it have to be done through an employer? I thought one could put money in an account that is used just for health expenses? We have to get individual insurance because my husband is self employed.

Girlie said...
Well we do have a tax free savings account option in canada ...where the interest earned isn't taxed.
Not limited to health spending though.

Girlie- American HSA is non taxed income from work, (part of your paycheck if not self employed) otherwise all work income is taxed..

Most peoples money was taxed income before it goes into any savings account.

If you regularly have over a certain amount of money appearing into a savings account with out a paper trail, IRS can audit to find where that money is coming from so they can tax it or throw you in jail if from illegal activity.

I think people might be confusing a FSA and an HSA. HSA is health saving saccount. FSA is a flexible spending account.

FSA is a pretax account that you opt into. You can do this in addition to an HSA or traditional health insurance. You can choose the amount you wish to put in, I have done between $300 and $1200 in the past, depending on how many health expenses I think I will incur. The FSA can be used for a lot of things, Copays, coinsurance, rx, teeth whitening, glasses, OTC items like Advil or bandages. Pretty much anything health related, but you have to save receipts and once in a while they will request proof of the expense. Usually the full amount is available to you on the 1st of the year, but you pay it out over each paycheck. At the end of the year, you can rollover a portion usually. For us it used to be ZERO but now it's $500. That depends on your particular plan.

An HSA is part of a health insurance plan. Usually it's a cheaper plan with more out of pocket expenses. With an HSA, your employer will give you an amount in an account to help cover the out of pocket costs. For example, let's say it's $100 a month premium (much cheaper than traditional plans), then there's $2000 deductible, the employer may give you $1500 in the HSA to help with the deductible. If you do not use it for that, you can use it for other medical expenses. I have not had one of these plans but I believe the full amount rolls over. If you get $1500 a year, you could quickly have it add up to $3000, then $4500, if you're healthy and you don't use it, but for people like us, with chronic health issues, these plans tend to come up short. They benefit the corporations and health insurance companies, not the individuals, and that is why they exist.

That's my whackadoo interpretation. I have an FSA and traditional insurance without HSA.

Interesting. I don't agree with some of the previous comments. I have had both FSA and HSA.

FSA (Flexible Spending Account) - pretax
You can put in money through your job/wages (pretax) up to a limit. I believe we submitted a form with receipt.
However, whatever you don't use, you lose by the end of the year. It was terrible. How can you "plan" for most of your medical expenses? Well, let's see... this year I'm going to foresee breaking a leg and maybe having an appendectomy? (Yes, I realize you can plan for some things, but with medical, I'd argue there is a lot that you can't foresee.) I am personally not a fan.

HSA (Health Savings Account) - pretax
I don't agree that it only helps the employer/corporations/insurance companies. I guess it would depend how your company offers it to you?
HSA has been very positive for us. You put in money pre-tax. BUT you don't lose the money by end of year if you don't use it (it just continues to grow instead). So, in that regard, it's much better than FSA where you risk losing your money if you don't use by year-end.
You can use for doctor's bills that aren't fully covered by insurance. It does not cover herbals/supplements/etc.
But I find the HSA very strange. There doesn't seem to be any checks-and-balances to make sure people are using it legit. I find that very strange. It's important to keep your receipts in case you were ever audited.

I have a health spending account through work. They give you a credit card, and allow you to spend pre-tax dollars on it. You can contribute a certain amount per week. I have actually not used the credit card yet. I'm not sure how much I have on it.

Rikky1 said...
An HSA is no different than a traditional medical plan except for who pays what and when. HSA premiums are also much cheaper because the kick in by your insurance company is higher.

For example say HSA premiums are $500 a month for a family whereas a traditional plan is $2000 a month. For HSA you have to spend $5000 out of your own pocket before they'll reimburse you whereas a Traditional Plan may be $600 before you hit the same deductible.

With that said whatever an insurance company will pay for will be the same rules as the HSA. At least that's how my plan works at my employer and several others I know.

I haven't seen a HSA used as a traditional medical plan. I don't understand this....

This sounds more like a HRA? Are you possibly referring to that instead of a HSA?