A plan under which employees may make tax-free salary-reduction contributions to a medical or dependent care reimbursement plan, or to purchase group health insurance or life insurance coverage on a pretax basis.
A Health Savings Account (HSA) is a type of savings account that lets individuals save for medical expenses tax-free. This account was established by the Medicare Prescription Drug, Improvement, and Modernization Act, which was signed into law by President George W. Bush on December 8, 2003.
