[Answer] how are employer contributions to health reimbursement accounts treated in regards to taxation?

Answer: they are a tax deductible
how are employer contributions to health reimbursement accounts treated in regards to taxation?

Health Reimbursement Accounts are notional accounts; no funds are expensed until reimbursements are paid. By health reimbursement arrangements employers reimburse employees directly only after the employees incur approved medical expenses. According to the IRS an HRA “must be funded solely by an employer. Contributions cannot be paid through a salary reduction agreement (such as a cafeteria plan). There is no minimum or maximum contribution limit on the employer’s contributions to an HRA.

A health savings account is a tax-advantaged medical savings account available to taxpayers in the United States who are enrolled in a high-deductible health plan. The funds contributed to an account are not subject to federal income tax at the time of deposit. Unlike a flexible spending account HSA funds roll over and accumulate year to year if they are not spent. HSAs are owned by the individual which differentiates them from company-owned Health Reimbursement Arrangements …

Health reimbursement account – Wikipedia

Health reimbursement account – Wikipedia

Health and welfare trust – Wikipedia

Employee compensation in the United States – Wikipedia

The employer contributions are not tax deductible Employees must pay taxes on deferred compensation at the time such compensation is eligible to be received …

In the United States a self-funded health plan is generally established by an employer as its own legal entity similar to a trust. The health plan has its own assets which under the Employee Retirement Income Security Act of 1974 (“ERISA”) must be segregated from the employer’s general assets. The health plan’s assets are derived from pre- tax (in most cases) contributions made by employees and sometimes additional contributions made by the employer.

Overview. A HWT is a bank account established exclusively for the purpose of health care spending. They a…

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