Canada Health Spending Accounts

The minimum contribution per employee is $50 per month or $600 per year.

Define the total annual contribution for each employee and then determine the frequency of deposits. The contribution amount cannot be changed mid-year unless there is a "life event" such as marriage, birth, adoption, or death.

For unincorporated businesses, the maximum annual contribution limits are $1500 per adult, and $750 per dependent child covered by the plan. For plans that start mid-year, contribution limits will be pro-rated.

Canada Revenue Agency HSA Tax Bulletins

• IT519R2 CRA Medical Expense & Disability Tax Credits
• IT339R2 CRA Meaning of Private Health Services Plan
• IT529 CRA Flexible Employee Benefit Programs
• IT85R2 CRA Health and Welfare Trusts for Employees