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New brochure explains small employer HRA options

Name: Core Documents
Brand: Core Documents
Rating: 4.9 (2549 reviews)

Continuing its program to educate employers on the tax-saving benefits of employer-sponsored group health plans, Core Documents, Inc., releases a new brochure explaining the Qualified Small Employer Health Reimbursement Arrangement (QSE-HRA). The QSE-HRA is an excellent plan for small employers already exempt from the Affordable Care Act (ACA) employer mandate. This small employer HRA usually reduces overall employer outlay compared to a cash-in-lieu of benefits program, too.

No Group Plan Required

Employers with fewer than 50 employees are not required to provide health insurance coverage to employees under the ACA. That’s a good thing, because most small employers can’t afford the high premiums. Still, many companies want to offer some kind of assistance to workers’ health care expenses.

Core QSE-HRA Small Employer HRA Plan Document and Forms

(Click image to download.)

The QSE-HRA allows employers to provide tax-free reimbursement to employees for health care expenses. Items eligible for reimbursement include the purchase of health insurance on the private market or on the ACA exchange. Once health insurance is obtained, the HRA covers out-of-pocket expenses not covered by insurance.

There is no requirement to also provide group health insurance to employees. In fact, a company using a QSE-HRA is not permitted to offer a group health plan. However, before receiving a reimbursement under a small employer HRA, the employer must receive proof of health insurance from the employee. This can be in the form of a receipt for their insurance premium payment or proof of other health insurance coverage, perhaps through a spouse or parent.

As with all HRA’s, the small employer model allows the employer total control over how much to contribute on a per-employee basis. In 2018 the annual limits are $5,050 for employees selecting self-only coverage and $10,250 for those selecting family coverage.

Better than Cash

The QSE-HRA will usually save employers more money than a cash-in-lieu-of-benefits program. This is because the rules of the small employer HRA manage all reimbursements. This makes sure the funds set aside for medical expense reimbursement go toward that purpose only. Employees documenting the use of funds toward health care receive the reimbursements tax-free.

Get the Brochure

Learn more about the QSE-HRA by downloading the Core QSE-HRA brochure. It brings all an employer needs to know about the plan right to your fingertips, including a handy form to help you gather your information when evaluating the plan. To get it, click here.

Small employer HRA -- Core QSE-HRA

Start Saving Today!*

The IRS and DOL only require employers to adopt a formal plan document and SPD to define the benefit design in writing. Then you start saving money.

Core Documents provides employers with everything they need to establish an IRS- and DOL-compliant Qualified Small Employer HRA plan in PDF format for an introductory price of just $199. This cost reflects a one-time setup fee, not an annual charge. For an additional $50, employers can choose the Deluxe Binder option that includes the PDF email version plus a printed plan document in a 3-ring binder.

Limited Time Offer at $199

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Core Documents will notify you when there are sufficient changes in the Code to require amending and restating your Plan. You can amend and update anytime for just $199, and only when necessary, which is the most cost effective way to establish and maintain a HRA Plan.

*Most documents go out the same day via email within hours M-F. Orders placed on the weekend will be emailed Monday morning. Keep in mind that December, January, and February are our busiest months of the year and documents are processed in the order they are received. The Rush Order fee ($25) simply brings your document to the top of the stack to be processed immediately.