Understand How Your HRA is Funded

The HRA is a fully-funded, employer-sponsored benefit. You, as the employee, do not contribute to it.

If you have an HRA, your employer will determine every year how much to contribute to your account. Your employer will also decide which expenses are eligible for reimbursement, such as pharmacy services and deductible costs. Finally, your employer will decide when to make your HRA dollars available to you. For example, some employers allow you to access your HRA dollars as soon as the plan year begins, while others include an HRA deductible, which require you to pay a certain amount of out-of-pocket expenses first.

Unused fund balances may be carried over to the next coverage period depending on your employer’s plan design. The amount of carryover is determined by your employer.