Health Spending Accounts

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When you run your own business, it can be challenging to offer your employees competitive health benefits. Typically, small businesses don’t have the capital to invest in a traditional workplace benefits plan because of the costly premiums associated with it.

However, it’s vital for your business that you offer competitive health benefits. Without them, you’re more likely to have a higher turnover rate, as well as be unable to recruit top talent to your company. So, how can you offer competitive benefits on par with larger companies? You offer your employees a health spending account.
Health Spending Accounts
Offering employees a health spending account is one way to offer competitive health benefits that don’t cost you an arm and a leg. A health spending account is made for small businesses because there are no expensive premiums for you to pay each year. That already eliminates one of the costs you would have to pay if you were to offer traditional workplace benefits. …show more content…

At the beginning of each year, you put in a set amount of money into each of your employee’s health spending account. You decide how much money each employee is getting. Then, your employees can spend that money on whatever health care needs they have—the only stipulation is that it has to be a CRA-approved health cost.
Unlike traditional benefits where your employees only get a set amount of money for a particular category, such as $200 for eye car every two years, your employees can spend as much or as little as they want on their health needs. They have the control over what they’re spending their health spending account dollars

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