Who can use a Wellnex HSA
Incorporated individual / self-employed
For a corporation with at least one arm’s-length employee on payroll (an employee who is not related to the owner).
- You operate through a corporation (for example a professional corporation or consulting company).
- At least one arm’s-length employee is on payroll in addition to the owner.
- The plan reimburses CRA-eligible medical expenses for covered employees and their dependants.
- Coverage and eligibility depend on plan design, documentation, and current CRA rules.
Business with employees
For any business with one or more employees on payroll, of any size.
- Any incorporated business with employees on payroll can offer an HSA.
- Set annual limits per employee class to control costs.
- Employees and their eligible dependants are covered for CRA-eligible expenses.
- Add or remove employees as your team changes.
The rules that make it tax-effective
A Canadian HSA is a Private Health Services Plan (PHSP). A few rules keep reimbursements deductible for the business and tax-free for the employee.
It must be a Private Health Services Plan
A Canadian HSA operates as a Private Health Services Plan (PHSP) under the Income Tax Act. When set up correctly, employer reimbursements are a deductible business expense and a non-taxable benefit to the employee.
Only eligible medical expenses qualify
Reimbursable expenses generally follow the CRA list of eligible medical expenses (the same items that can qualify for the medical expense tax credit) for employees and their dependants.
Some expenses need a prescription or written authorization
Certain items are only eligible when prescribed or authorized in writing by a medical practitioner — for example many drugs, devices, and some therapies. Keep the prescription or note with your receipt.
Keep receipts and documentation
Every claim should be supported by a receipt (and a prescription where required). Wellnex stores claim documentation and keeps an audit trail.
Reimbursement, not pre-payment
Employees pay the provider, then submit the expense for reimbursement from the company HSA pool up to their annual limit.
What can be reimbursed
Common CRA-eligible categories. Final eligibility depends on CRA rules and documentation.
Dental
- Checkups and cleanings
- Fillings and crowns
- Orthodontics / braces
- Dentures
Vision
- Eye exams
- Prescription glasses
- Contact lenses
- Laser eye surgery
Medical & paramedical
- Prescription drugs
- Physiotherapy
- Chiropractic
- Psychology / mental health
Other eligible care
- Specialist consultations
- Medical devices
- Registered massage therapy
- Travel medical (eligible portion)
Wellnex provides plan administration software and does not provide tax, legal, or accounting advice. Eligibility, deductibility, and tax treatment depend on your circumstances, plan design, documentation, and current Canada Revenue Agency (CRA) rules. Please consult your own professional advisor.
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