Health · Chapter 15 · Tax-Advantaged Accounts
Health Reimbursement Arrangement (HRA)
Definition
Employer-established AND employer-funded credit for approved medical expenses. No annual contribution limit, tax-free reimbursements, unused amounts carry forward — but NOT portable: leave the job, leave the balance.
Exam tip
HRA = employer's money on a leash. HSA = your money in your pocket.
Easy to confuse with
These are what this term gets tested against — if you can't tell them apart cold, drill the contrast.
Related terms