Debit cards for health reimbursements – 4 must-have features

Reimbursing employees via debit cards can streamline your processes and boost participation in these healthcare cost cutters. Just make sure you pick the right vendor for the job.

Whether you offer a health savings account (HSA), health reimbursement account (HRA), flex spending account (FSA) or a combination of them, you’ll want to consider implementing a debit card program.

But there are a lot of choices out there, and on the surface many cards look the same.

Here’s a list of can’t-compromise-on features that will set your debit card program up for success:

1. IRS compliance. IRS has specific regs on how these plans must be administered. You need to be sure your vendor is up to speed on everything the Taxman requires.
2. One-stop-shop. You want a card that can handle HSA, HRA, FSA and even transportation benefits on a single card.
3. Multiple pharmacy selections. Limit employees’ choices, and they’re not likely to buy into the program.
4. Technology. You want someone who’s ahead of the curve here, not behind.

Jennifer Azara

Jennifer, a member of the CFO Daily News staff, has covered business and finance for more than 22 years. She has written for CFOs, credit and collections professionals and accounts payable practitioners and has spoken at industry conferences on sales and use tax compliance.