New brochure explains small employer HRA options

Free download

BRADENTON, Fla., Nov. 27, 2017 /PRNewswire-iReach/ -- Continuing its program to educate employers on the tax-saving benefits of employer-sponsored group health plans, Core Documents, Inc., releases a new brochure explaining the Qualified Small Employer Health Reimbursement Arrangement (QSE-HRA). The QSE-HRA is an excellent plan for employers already exempt from the Affordable Care Act (ACA) employer mandate. It usually reduces overall employer outlay compared to a cash-in-lieu of benefits program, too.

No Group Plan Required

Employers with fewer than 50 employees are not required to provide health insurance coverage to employees under the ACA. That's a good thing, because most small employers can't afford the high premiums. Still, many companies want to offer some kind of assistance to workers' health care expenses.

The QSE-HRA allows employers to provide tax-free reimbursement to employees for health care expenses. Items eligible for reimbursement include the purchase of health insurance on the private market or on the ACA exchange and out-of-pocket expenses not covered by insurance.

There is no requirement to also provide group health insurance to employees. In fact, a company using a QSE-HRA to reimburse employees is not permitted to offer a group health plan. However, before receiving a reimbursement under a QSE-HRA, the employer must receive proof of health insurance from the employee. This can be in the form of a receipt for their insurance premium payment or proof of other health insurance coverage, perhaps through a spouse or parent.

As with all HRA's, the small employer model allows the employer total control over how much to contribute on a per-employee basis, up to the 2018 annual limits of $4,950 for employees selecting self-only coverage and $10,000 for those selecting family coverage.

Better than Cash

The QSE-HRA will usually save employers more money than a cash-in-lieu-of-benefits program because the rules of the HRA manage all reimbursements. This makes sure the funds set aside for medical expense reimbursement go toward that purpose only. Employees documenting the use of funds toward health care receive the reimbursements tax-free.

Get the Brochure

Learn more about the QSE-HRA by downloading the Core QSEHRA brochure. It brings all an employer needs to know about the plan right to your fingertips, including a handy form to help you gather your information when evaluating the plan. To get it, click here.

About Core Documents: Helping employers save money with tax-advantaged and strategic group health benefit choices for more than 20 years, Core Documents is The Trusted Source in affordable plan documents required by the IRS, DOL, and ACA for pre-tax group benefit plans. Core Documents offers stand-alone plan document packages for Section 125 Premium-Only Plans (POP) and Health Reimbursement Arrangements (HRA) that allow employees to save up to 40% by pre-taxing health insurance premiums. Employers save up to 10% in matching payroll taxes. For more information, call 1-888-755-3373, send an email to, or visit the web site at

Media Contact: Bobbie Boggs, Core Documents, Inc., 941-677-2880,

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SOURCE Core Documents, Inc.



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