Page 8 - Union Guide
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Comparing the Two Accounts: HRA and HSA
HRA HSA
Who can contribute? Nortek; Nortek contributes $1,000 per You and Nortek; Nortek contributes $1,000
individual and $2,000 for employee + per individual and $2,000 for employee +
spouse, employee + child(ren), employee + spouse, employee + child(ren), employee +
spouse and children into your HRA spouse and children into your HSA
Can I earn the Wellness Credits Yes; money you and your spouse ($700 Yes; money you and your spouse ($700
for this account? single; $1,400 together) earn in wellness single; $1,400 together) earn in wellness
credits goes directly into your HRA account credits goes directly into your HSA account
How much can I contribute on my $0 The IRS will allow pre-tax contributions of
own? up to $3,350 for single coverage and up to
$6,750 for family coverage, including your
wellness credits and company seed; if you
are at or over the age 55, you can also
contribute an additional $1,000
Can I have a Flexible Spending Yes; but eligible health expenses will be paid Only for dependent care; any pre-tax dollars
Account, too? irst from your HRA account you want to set aside for health related
expenses must go into your HSA account
What can I use the money for? Medical expenses which apply to your Medical, dental, and vision expenses as well
deductible or coinsurance only as prescription drugs
How do I access my account? UHC will administer your HRA account for You can use your OptumBank debit card
you. You can go to myuhc.com to track your to pay for eligible expenses or go to
medical claims myuhc.com to track your medical claims
Does the money earn interest? No Yes, depending on how big your account is
and how you choose to invest it
Can I take the unused balance No Yes
with me if I leave the company?
Can I roll over unused dollars Yes Yes
from year to year?
Must I report my account on my No Yes. Just as you report pre-tax dollars you
federal income tax form? contribute to other beneit plans—like a
401(k)—the IRS requires that you report
your pre-tax contributions to your HSA using
a Form 8889. Your contribution will appear
on your W-2 for easy reference
We’ll Fund Your Account
If you enroll in the HRA or HSA medical plan the company will put $1,000 for
individuals covered and $2,000 for employees covering themselves and family
members into your savings account (either the HRA or the HSA). These company
paid dollars can be used to offset the higher deductibles associated with these plan
designs.
Nortek
Comparing the Two Accounts: HRA and HSA
HRA HSA
Who can contribute? Nortek; Nortek contributes $1,000 per You and Nortek; Nortek contributes $1,000
individual and $2,000 for employee + per individual and $2,000 for employee +
spouse, employee + child(ren), employee + spouse, employee + child(ren), employee +
spouse and children into your HRA spouse and children into your HSA
Can I earn the Wellness Credits Yes; money you and your spouse ($700 Yes; money you and your spouse ($700
for this account? single; $1,400 together) earn in wellness single; $1,400 together) earn in wellness
credits goes directly into your HRA account credits goes directly into your HSA account
How much can I contribute on my $0 The IRS will allow pre-tax contributions of
own? up to $3,350 for single coverage and up to
$6,750 for family coverage, including your
wellness credits and company seed; if you
are at or over the age 55, you can also
contribute an additional $1,000
Can I have a Flexible Spending Yes; but eligible health expenses will be paid Only for dependent care; any pre-tax dollars
Account, too? irst from your HRA account you want to set aside for health related
expenses must go into your HSA account
What can I use the money for? Medical expenses which apply to your Medical, dental, and vision expenses as well
deductible or coinsurance only as prescription drugs
How do I access my account? UHC will administer your HRA account for You can use your OptumBank debit card
you. You can go to myuhc.com to track your to pay for eligible expenses or go to
medical claims myuhc.com to track your medical claims
Does the money earn interest? No Yes, depending on how big your account is
and how you choose to invest it
Can I take the unused balance No Yes
with me if I leave the company?
Can I roll over unused dollars Yes Yes
from year to year?
Must I report my account on my No Yes. Just as you report pre-tax dollars you
federal income tax form? contribute to other beneit plans—like a
401(k)—the IRS requires that you report
your pre-tax contributions to your HSA using
a Form 8889. Your contribution will appear
on your W-2 for easy reference
We’ll Fund Your Account
If you enroll in the HRA or HSA medical plan the company will put $1,000 for
individuals covered and $2,000 for employees covering themselves and family
members into your savings account (either the HRA or the HSA). These company
paid dollars can be used to offset the higher deductibles associated with these plan
designs.
Nortek
