A difference between a Health Reimbursement Account (HRA) and a Health Savings Account (HSA) is that the HSA is:

1)	The Code Sec. 105 exclusion for employer-provided health insurance and the exclusion for payments received under those plans to reimburse qualified medical expenses under Code Sec. 106 apply.

2)	The account is funded through salary reduction plans.

3)	The account funds can be used to pay or reimburse out-of-pocket medical expenses not covered by health insurance plans.

4)	Amounts not used to reimburse expenses in the current coverage period can be carried forward for use in future reimbursement periods.