I have an HSA HDHP plan from a previous employer, which I am now enrolled in through COBRA coverage. A tentative new employer has offered me a position but does not offer health coverage, so I will continue with COBRA until it expires. The new employer, however, mentioned that in lieu of a group health plan, they offer their employees a $200/month non-taxable "reimbursement" to cover the premiums employees pay on their own individual plans. Would this non-taxable "reimbursement" in any way restrict the amount of money I would be able to contribute to my HSA for the year?
Thanks for your help.
Full Version: HSA & Employer Reimbursement
No, that $200/mo would not restrict the amount you can contribute to your HSA, unless you used that $200/mo to pay for premiums of health insurance that did not qualify as HDHP for HSA contribution purposes.
QUOTE (J Simmons @ Jan 28 2009, 04:05 PM) 
No, that $200/mo would not restrict the amount you can contribute to your HSA, unless you used that $200/mo to pay for premiums of health insurance that did not qualify as HDHP for HSA contribution purposes.
Folks, the $200 reimbursement is clearly taxable (it has been since IRS outlawed ZEBRAs in 1984).. It just has a different name now.
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