Health savings accounts – HSAs – are essential for your business and employees.
HSAs cover health expenses not paid by high-deductible health plans (HDHPs) for employees and their eligible dependents. Fortunately, both employers and employees can make contributions to these accounts. And there are several reasons that you should contribute to
employee HSAs, outlined below.
Proven Reasons for Employer Health Savings Account Contributions
Your business needs a healthy, strong workforce to continue performing at its best. HSAs provide financial support to your employees to cover the cost of illnesses, injuries, and unexpected health issues, which gets them back to work faster. That means increased productivity for your business.
The contributions you and your employees make to HSAs are tax-deductible. You can write off the contributions as a business expense, which saves your business money in the long run.
Build employee loyalty
Employee retention is increasingly difficult as workers look for remote or hybrid roles, new opportunities,
and higher salaries. One strategy to increase employee retention is providing benefits that employees want and need. HSAs are one of them. So whether you’re designing a small business benefits package or updating your enterprise’s policies, your benefits should include HSAs.
You can share the cost of healthcare benefits with your employees by contributing to their HSAs, which ultimately saves your business time and money while increasing productivity. In addition, employees are looking for benefits like HSAs when considering their careers and employment opportunities. Find a trusted Horizon Bank business advisor today to learn more about opening or contributing to employee HSAs.