Health Spending Accounts in Alberta: Here's What You Need to Know

If you’re an incorporated business owner or independent professional in Alberta, a Health Spending Account (HSA) offers a smarter way to handle personal medical costs through your corporation.

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Hiveworks makes the process seamless and fully compliant with CRA rules.

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What Is an HSA?

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An HSA allows your corporation to reimburse you for eligible medical expenses without triggering a taxable benefit.

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You pay out-of-pocket, submit your claim, and your business covers the cost.

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It’s tax-free to you, and fully deductible to the company.

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There’s no need for traditional insurance premiums or complex group plans.

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HSAs are simple, effective, and designed for flexibility.

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Want the full overview? Visit our What Is a Health Spending Account page.

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Why HSAs Make Sense for Alberta Corporations

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Using personal after-tax income to pay for medical, dental, vision, and more adds up quickly.

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With an HSA, you shift those costs to your corporation, reducing your taxable income and increasing your after-tax savings.

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Example:
If you earn $140,000 and spend $4,000 annually on eligible medical expenses, you could save around $2,000 by using an HSA instead of paying personally.

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Use our Savings Calculator to see how much your Alberta-based business could save.

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What’s Covered Under an HSA?

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More than 50 types of licensed health practitioners are eligible, from physiotherapists to dentists, psychologists to naturopaths. Practitioners covered are specific to Alberta.

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Some examples include:

• Physiotherapists
• Dentists
• Optometrists
• Chiropractors
• Acupuncturists
• Psychologists
• Naturopathic doctors
• Dieticians
• Audiologists

If the service is performed by a licensed practitioner in Alberta and qualifies under CRA’s Medical Expense Tax Credit (METC), it’s eligible through your HSA.

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Over 100 health-related expenses are also covered.

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Some examples include:

• Braces / Invisalign
  
• Prescription eyewear and laser eye surgery
• Prescription medications
• Orthotics and orthopedic shoes
• Group benefits premiums

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See the full list in our Eligible Expenses Guide.

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Alberta HSA Claim Example

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Let’s say you pay $250 for a physiotherapy session and want to get reimbursed through your Hiveworks HSA.

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Here’s what happens:

• You pay out of pocket and upload your receipt through your Hiveworks dashboard
• We review and approve the claim based on CRA eligibility
• Your corporation is invoiced $250
• You receive a direct deposit for the full $250, tax-free

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There are no provincial insurance taxes in Alberta. What you spend is what your corporation gets invoiced.

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Designed for Alberta Professionals

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Hiveworks is built specifically for incorporated Canadians. In Alberta, that means we work with consultants, contractors, medical professionals, engineers, and small business owners of all kinds.

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With Hiveworks, you can:

• Set your annual claim limit (up to $15,000)
• Add your spouse and dependants with no extra fee
• Submit multiple claims anytime
• Track all claims and receipts digitally
• Download reports at tax time

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It’s fast, simple, and designed for businesses like yours. No paperwork. No per-claim admin charges. Just one low annual fee.

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Already Have Benefits? Your HSA Still Fills the Gaps

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If you or your spouse already have partial coverage through a group plan, an HSA can pick up the rest. That includes anything the plan excludes or caps.

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You can claim:

• Medical or Dental expenses not fully covered
• Vision care over the plan’s annual max
• Services like braces, acupuncture, or orthotics not included in your benefits

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Check out our articles on Combining HSAs with Group Benefits or Spousal Plan Coordination for more.

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Flat Annual Fee. No Surprises.

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Hiveworks charges a single annual fee: $249 per year.

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That includes:

• Up to $15,000 in claims
• Coverage for your spouse and dependants
• Unlimited claim submissions
• No monthly fees or surprise charges

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See our HSA Pricing for full plan details.

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Get Started Today

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You can only claim expenses that occur after your plan start date, so it pays to activate your HSA sooner rather than later.

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Join the growing number of small businesses seamlessly using Hiveworks to reduce taxes and handle medical costs more efficiently.

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Open an HSA in Minutes or Contact Us if you’ve got questions.

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You can also learn more in our FAQs or see why Hiveworks is different.