Frequently Asked Questions
How much will this cost my company?
We are often asked “If I allot $2,000 per employee and I have 10 employees, will I be out $20,000?” The answer is probably no. In our 20 years of experience, we have found that companies submit an average of 40% of their allotted allowance in claims each year.
Company A had $27,000 of employee claims in 2019. The total cost to Company A including administration fee and gst was $28,417.50. Company D has 19 employees and allotted $12,000 for employee benefit limits. They had $9,300 worth of claims for a usage of 77.5%. Because the plan is pay as you go, the total cost was only $9,788.25. These expenses are 100% tax deductions for the company and tax free to the employee.
How does the Health Spending Account work?
Employees pay for medical/dental visits personally.
Employees take receipts to their company’s contact person.
The company submits the receipts plus payment for the entire cost of the claim as well as the 5% admin fee and GST/HST on the admin fee.
We reimburse the employees for the entire cost of the medical expenses. The company receives a receipt that is 100% tax deductible.
What can I use for receipts?
Eligible receipts must show the patient name, service date, services rendered or products purchased, payment and the practitioner name and credentials. Credit / debit slips are not eligible receipts. Detailed insurance summaries are acceptable.
Do you need my originals?
No, you can submit scans or photos of your receipts. You can attach the copies online using our remittance form, or send them by mail or by fax.
How long do you keep the receipts?
As required by CRA, we keep your claims and receipts on file for 7 years, after which they are securely shredded.
How do I get reimbursed?
Reimbursements are made either by direct deposit (if you have submitted a void personal cheque or direct deposit form), or by mailed cheque.
How do I submit my personal void cheque or direct deposit form?
We have a secure site to attach and submit your personal void cheque or direct deposit form.
How do I know what is covered?
Eligible expenses are set by the CRA with each jurisdiction regulating eligible practitioners for each type of expense. A summary of eligible expenses is available here.