Our Health Spending Account Options

Corporate HSA

Small Corporate HSA

Corporations with as few as one employee can set up a health spending accounts, but shareholders must also be employees earning a T4 income.

Unincorporated Businesses Without Employees

Unincorporated businesses without employees cannot have health spending accounts.

Unincorporated Businesses With Employees HSA/PHSP

Unincorporated businesses with employees can have health spending accounts.
(Note: HSAs (Private health services plans) for an unincorporated businesses restrict the business owner's claim in any year to the lowest annual claim of any employee in that year.)

Canada Revenue Agency Press Release Regarding Shareholder Employees Earning T4 Income

For the purposes of the quoted statement below HSA's are the same as private heath services plans...

From April 18, 2019 CRA Press release...

"Incorporated businesses, including shareholder employees and all other corporate employees, are eligible to participate in an HSA. Corporations with as few as one employee can be eligible as well. However, the HSA cannot be solely for shareholders unless the shareholders are also employees earning a T4 income."

Why We Do Not Offer Online HSA Sign-Up

At Coast Mountain Benefits we do not believe it is not possible to properly set up and document your HSA/PHSP in a way that satisfies Canada Revenue Agency requirements until we get to know your business. This is simply not possible through an online registration process.

We believe that the number one key to establishing an HSA that qualifies under the Income Tax Act, is appropriate documentation. Secondly, as every business is different in the eyes Canada Revenue Agency, each plan needs to be tailored to your business's particular circumstances.

Health Spending Accounts (HSA) for Canadian Businesses