Glossary · Benefits
HSA (Health Savings Account)
A tax-advantaged savings account paired with a qualified high-deductible health plan, owned by the employee with portable balances.
All terms
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HSA contributions (employer or employee) are pre-tax; growth is tax-free; qualified medical withdrawals are tax-free. The account is owned by the employee and persists across employers.
Most PEOs offer HSA-eligible high-deductible plan options inside their master plan menu, often with employer contribution administration built into payroll.
Related terms
- FSA (Flexible Spending Account)An employer-sponsored, employee-funded pre-tax account used to pay qualified medical or dependent-care expenses, with limited carryover.
- HRA (Health Reimbursement Arrangement)An employer-funded account that reimburses employees for qualified medical expenses on a tax-advantaged basis.
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