Part 2

Health Care Spending Account — Claim Submission & Balances

Let's keep learning together!

More about
your Health Care Spending Account (HCSA)

In this session we cover claim submission order, balance carry forward rules, and claim submission deadlines — with examples bringing it all to life.

📋 Section 1 – Order of Claims
💰 Section 2 – Balance Rules
📅 Section 3 – Claim Deadlines
💡 We have provided you with examples to illustrate each concept!
Welcome back! Lots of great info coming! 🎉
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Health Care Spending Account – Part 2Introduction
Section 1

Order of Claims — Submit Base Plan First

Example 1: Order of Claim

📖 Scenario: Johnny gets a $120 massage. He wants the full amount paid. He received an allocation of $650 April 1st.
Point of Sale Plan covers $75 · Johnny pays $45 💳 1 📱 2 Submits against the HCSA Uploads the receipt or uses paper submission 💸 3 Reimbursed! Johnny gets $45 back ✅ 4 Balance Updated New HCSA balance: $605 (650-45)
📝 No point of purchase? If Johnny's therapist doesn't use point of sale, he submits a claim for $120 and indicates on the app or paper form that he wants unpaid balances applied to his HCSA.
Base plan first — then HCSA for the rest! 📋
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Health Care Spending Account – Part 2Section 1 – Order of Claims
Section 1

Coordinating Benefits With a Second Plan

Example 2: Co-ordination of Benefits When You Have Two Plans

Nothing changes with your regular claiming process. Claims go through the member's plan first, then the second plan (e.g. your spouse's plan), and finally the HCSA covers any remaining eligible amount if selected.
📖 Johnny's Example (continued): Johnny's wife now has her own plan. His next $120 massage now flows through two plans before the HCSA.
💳
Johnny's Plan (Primary) — Covers $75.
👫
Wife's Plan (Secondary) — Covers $40. Johnny pays $5 out of pocket.
📱
Submit to HCSA — Johnny takes a photo of the receipt and submits $5 against his HCSA using My Canada Life at Work or sends the invoice with a paper claim.
💸
Reimbursed — Johnny is reimbursed $5.
✓
New HCSA Balance: $645 ($650-$5).
✅ Balance Updated
Two plans? Same process — member's plan goes first! 👫
Health Care Spending Account – Part 2Section 1 – Coordination of Benefits
Section 2

Balance Carry Forward Rules

Carry Forward Basics

You can carry forward your HCSA balance until December 31 of the following year. After that, any unused amount is forfeited.
📖 Aaron's Example: Aaron does not have many medical expenses. He received $650 on April 1st.
Period Allocation HCSA Claims Dec 31 Balance Carried Forward? What Happens Next
Year 1 $650 $200 $450 ✅ Yes $450 carried into Year 2
Year 2 $800 new
+ $450 c/f		 $0 used
from c/f		 $450 ❌ Forfeited $450 is forfeited
📅 Year 1
Allocation$650
HCSA Claims$200
Dec 31 Balance$450
Carried Forward?✅ Yes — $450
📅 Year 2
New Allocation$800
Carry Forward$450
Used from C/F$0
Dec 31 C/F Balance$450 forfeited ❌
⚠️ Remember: If Aaron does not use the carried-forward $450 in Year 2, that amount is forfeited on December 31 of Year 2.
Use it or lose it — after year 2! ⏰
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Health Care Spending Account – Part 2Section 2 – Balance Carry Forward
Section 2

Using Your HCSA Strategically

You're in Control

Claims against your HCSA are not automatic. You choose how and when to use the funds — including saving up for a specific expense you know is coming.
📖 Prim's Example: Prim wants optional laser eye surgery ($2,500). The plan has a lifetime max of $1,500. After checking that it is eligible with CRA, she books her appointment for January 15 in year 2, when she can use both her carry foward and the new allocation. She uses her allocation strategically:
Date Allocation HCSA Claims Balance Notes
Apr 1, 2026 $650 $0 (saves it) $650 $650 carries fwd
Jan 1, 2027 $800 new
+ $650 c/f		 — $1,450 Total available
Jan 15, 2027 — $1,000 used $450 After the plan pd
Dec 31, 2027 — — $450 Carried fwd
📅 Apr 1,2026
Allocation$650
HCSA Claims$0 (saves it)
Dec 31 Balance$650 → Carried Forward
📅 Jan 1, 2027
New Allocation$800
+ Carry Forward$650
Total Available$1,450
📅 Jan 15, 2027 — Surgery!
Surgery Cost$2,500
Plan Pays$1,500
HCSA Used$1,000
Remaining Balance$450 ✅
📝 Important: Because the plan automatically uses carry-forward funds first, if Prim doesn't use her HCSA for the rest of 2027, she can carry forward $450. You cannot carry forward a claim — only the balance. If Prim had the surgery in 2026, she could not carry the claim forward into the new allocation year.
Plan ahead — your HCSA is a powerful tool! 🎯
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Health Care Spending Account – Part 2Section 2 – Strategic Use
Section 3

Claim Submission Deadlines

Know Your Deadlines

🏥 Health & Dental (44501)

Deadline is December 31 of the year following the service (incurred) date. This is unchanged.

💳 HCSA Claims

Deadline is May 31 of the year after the claim was incurred. Earlier than the base plan!

📖 Amie's Example: Amie bought glasses and contacts for $700 in Year 1. The plan covered $600, and she claimed $100 against her HCSA.
📅
Year 1
Amie purchases glasses & contacts — $700
Plan covers $600 · HCSA claim: $100
⚠️
May 31 in Year 2
HCSA Deadline — $100 must be submitted by this date
Earlier deadline — don't miss it!
📋
December 31 in Year 2
Health & Dental (44501) Deadline
Vision claim through the health plan must be submitted by this date
⭐ Key Rule: Always submit claims through your health and dental plan first — then submit the unpaid portion to your HCSA before the May 31 deadline.
Mark May 31 in your calendar! 📅
Health Care Spending Account – Part 2Section 3 – Claim Deadlines
Let's Review!

Part 2 — Key Takeaways 🎉

Quick Recap

  • 1Order of Claims: Expenses must go through the base health or dental plan (44501) first. Additional expenses can then be claimed against your HCSA using the website, app, or paper submission.
  • 2Coordinating Benefits: If you coordinate with another plan (e.g. your spouse), submit through your plan first, then the second plan, followed by the HCSA.
  • 3Carry Forward: Unused balances can be carried forward to December 31 of the year following the claim year. Any unused amount after that is forfeited.
  • 4Deadlines: Health & dental claim deadline is December 31 the year after the incurred date. HCSA claim deadline is May 31 of the following year. Submit health and dental first!
🌟 Remember: Your HCSA is a flexible, powerful benefit. You're in control of how and when you use it — plan strategically to get the most value!
You've got this! More info coming soon! 🌟🎊
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Health Care Spending Account – Part 2End of Presentation
Slide 1 of 7

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