HRA tax reporting is not required…in most cases.
HRAs are generally tax-exempt and don’t require any tax reporting. However, if you’re the divorced spouse or, in rare cases, a non-dependent survivor of a deceased HRA participant*, you must report the value of your HRA coverage as taxable income. In these instances, be watching for a tax statement and instructions from us in the mail.
*This would be a rare circumstance. Federal law prohibits most HRA plans from providing or transferring benefits to non-dependent heirs of deceased participants.
Your Form 1095-B will be available online on or after January 31, 2024.
If your HRA qualified as “minimum essential” coverage during any month in 2023, you can log in and print your Form 1095-B on or after Wednesday, January 31, 2024. Form 1095-B is informational only—just keep it with your tax documents. You don’t need to file it with your individual return. If you need a paper copy, give us a call on or after January 31, 2024 at 1-844-342-5505.
Check out our video library!
Click the Videos button. You’ll find several helpful videos, including HRA Overview, How to File a Claim, Supporting Documentation for Claims, Using Your Benefits Card, How to Set Up an Automatic Premium Reimbursement, and How Your HRA Coordinates with Other Benefits.
Have you separated from the employer who set up your HRA?
If you’re no longer working for the employer who set up your HRA, make sure we have your separation date on file. This is especially important if your HRA was fully claims eligible while you were working. Medicare should be primary to your HRA. But, if we don’t have your separation date, Medicare will consider your HRA to be primary and can take your HRA funds to cover prior Medicare claims.
Log in. If we have your separation date on file, it will be displayed on your dashboard (landing page) inside the box with your account balance. If you don’t see your separation date, click the envelope icon at the top right of your screen to send it to us using our Secure Messaging Center. You can also reach us at 1-844-342-5505.
You might need to elect “limited HRA coverage” if your HRA is fully claims eligible.
If your HRA is fully claims eligible and you’re in any of the situations listed below, you should consider limiting your HRA coverage to help avoid future hassles.
- Medicare Coordination. You’re still employed by the employer who set up your HRA and you, your spouse, or a dependent have Medicare coverage, and you don’t want to be forced to use up your HRA funds before Medicare will pay claims.
- HSA Eligibility. You, your spouse, or a dependent are making or receiving contributions to a health savings account (HSA). To be eligible for HSA contributions, IRS rules require that you have no other first-dollar coverage. This includes full HRA coverage.
- Premium Tax Credit Eligibility. You, your spouse, or a dependent are purchasing insurance through a marketplace exchange and are taking the Premium Tax Credit (subsidy).
You can avoid potential problems by electing limited HRA coverage for yourself, your spouse, and/or a dependent as needed. Just complete and submit a Limited HRA Coverage Election form. The form, which contains more details, is available online. Log in and click Resources.
Are you a retiree-rehire with a post-separation (retiree-only) HRA?
If you leave employment with a post-separation (retiree-only) HRA and are later rehired by the employer who set up your HRA, your HRA coverage will once again be subject to the same in-service limitations that applied before separated or retired. Depending on your HRA plan design, you may or may not be eligible to file claims for certain types of expenses incurred during re-employment. However, you may still file claims for qualified medical expenses incurred prior to re-employment while your HRA was fully claims eligible. Your HRA may once again provide full coverage after your re-employment ends.
The above retiree-rehire limitation applies to post-separation HRAs only. If you have an HRA with in-service claims eligibility, you may continue to file claims without limitation.
You can keep filing claims while on military leave.
You can keep filing claims if you’re on military leave governed by the Uniformed Services Employment and Reemployment Rights Act (USERRA) and have a claims-eligible HRA. Also, you can make voluntary after-tax contributions to your HRA under COBRA if your employer has stopped making HRA contributions due to your military leave. Certain restrictions may apply.