Health Spending Account Wallet
HSA Wallet
Flexible, pay-as-you-go health benefits for Canadian teams — from solo founders to 30 employees. No upfront funding or deposit required. Start your plan today as a Plan Administrator.
- Coastal HSA Web App
- 100+ Eligible Health Expenses
- Health Claim Adjudication
- Fast Direct Deposit Reimbursements
Get reimbursed in just 2-5 business days.
- No Upfront Funding Required
Claims are billed once they are approved.
- Automated Pre-Authorized Debit (PAD) Billing
Save time with hassle-free administration. Claim amounts, the 7% administration fee, and applicable taxes are automatically withdrawn from your business bank account via PAD — no manual invoice payments required.
- Access Health Spending Reports
- RDS AES-256 Data Encryption
- CRA Compliant
- In-App Support
*Plus applicable taxes based on province. Ontario residents are subject to additional provincial taxes (see details below).
Please note that HSAs cannot be backdated under CRA rules. Coverage begins on your plan start date and only applies to eligible expenses incurred after that date. Set up your plan today and choose either today or a future date as your plan start date.
The HSA Wallet is currently available to employees across Canada except for Québec.
HSA Wallet - Growth
For Canadian teams with more than 30 employees or projected annual HSA spending over $100,000.
- Everything in the HSA Wallet
- Dedicated Account Support
- Volume-based Pricing
- Plan Administrator Training
How HSA Taxes Work Across Canada
Taxes on HSAs
Taxes are calculated, collected, and remitted based on the employee’s province of residence.
5% GST is charged on the admin fee.
Example: $100 claim → $7 admin → $0.35 GST → $107.35 total
15% HST is charged on the admin fee.
Example: $100 claim → $7 admin → $1.05 HST → $108.05 total
14% HST is charged on the admin fee.
Example: $100 claim → $7 admin → $0.98 HST → $107.98 total
2% PPT is charged on the claim + admin.
8% RST is charged on the claim.
13% HST is charged on the admin fee.
Example:
$100 claim → $7 admin → $2.14 PPT → $8.00 RST → $0.91 HST → $118.05 total
Coastal HSA does not currently offer HSAs in Québec.
HSA Cost Calculator
How to Setup Your HSA
01
Create an Account
Use your work email to create a Plan Admin account and begin setting up your HSA plan.
02
Build The Plan
Add employees to your organization and allocate an annual health credit to each employee.
03
Activate the Plan
Complete a Pre-Authorized Debit (PAD) agreement and pay a $50 one-time setup fee to fund your health plan.
04
Employee Login
A welcome email is sent to employees with a link to access their HSA and start using it.
HSA Health Wallet
HSA Plan Structure .
Guidelines and Rules.
A Health Spending Account (HSA) is a Private Health Services Plan (PHSP) recognized by the CRA.
1. T4 Income
Employees must receive T4 employment income. HSA limits are set at 20% of that income; for example, $80,000 in T4 income allows a maximum annual HSA of $16,000.
2. Business Structure
Available to incorporated businesses with active income and nonprofits. Sole proprietors also qualify if they have at least one full-time arm’s-length employee.
3. Health Expenses
All expenses on the Coastal HSA Eligible Health Expenses List qualify for reimbursement.
4. Claim Date Eligibility
Coverage begins on your plan start date. Only expenses incurred on or after that date are eligible. Under CRA rules, plan start dates cannot be backdated.
5. Allocation
HSA credits are distributed either quarterly (January 1, April 1, July 1, and October 1) or annually (January 1), as determined by the Plan Administrator.
6. Fairness
Employees should be grouped into classes based on role and responsibilities, and all employees within the same class should receive the same HSA allocation.
7. Claim Deadline
Expenses must be submitted no later than March 31 of the following year and will be reimbursed only from credits allocated in that plan year.
8. Rollover
By default, unused HSA credits roll over on January 1 and remain available for 12 months. After that period, any remaining unused credits expire at no cost. This rollover feature is optional and can be disabled upon request.
140+ Eligible Health Expenses.
100+ Eligible HSA Expenses
* Items with an asterisk require a prescription or written confirmation from a licensed medical practitioner to qualify. A licensed or registered medical practitioner must be recognized in the employee’s province and acting within their authorized scope of practice for the expense to qualify.
- Exams
- Cleanings & Polishing
- Oral Hygiene
- X-rays
- Gum Treatments
- Repair
- Root canals
- Fillings
- Tooth extractions
- Denture repair and replacement
- Orthodontic work, including braces paid to a medical practitioner or a dentist. Expenses for solely cosmetic procedures are not covered.
- Eyeglasses
- Contact lenses
- Optician, Optometrist, Ophthalmologist
- Laser Eye Surgery
- Acupuncturist (R.Ac.)
- Anesthesiologist
- Athletic Therapist (must provide professional registration number)
- Audiologist
- Chiropodist
- Chiropractor (DC)
- Clinical Counselor (RCC)
- Dermatologist*
- Dietitian or Nutritionist (Registered)
- Gynaecologist (Ob. Gyn)
- Homeopath (Registered Professional)
- Kinesiology (Ontario only; must provide professional registration number)
- Massage Therapist (must be provincially registered)
- Midwife (Registered)
- Naturopath (ND)
- Neurologist
- Nurse (RN, LPN, NP)
- Occupational Therapist
- Orthopedist
- Osteopath (must have a certificate or be licensed in the jurisdiction where the individual resides)
- Pharmacist
- Physician (MD), Pediatrician, Podiatrist (DPM), Surgeon
- Physiotherapist (B.PhysT, B.ScPhysio, B.Physio, CPTA)
- Plastic Surgeon (must be medically required with doctor certification)*
- Prosthetist
- Psychiatrist (MD)
- Psychoanalyst
- Psychologist (R. Psych)
- Psychotherapist (RP)
- Registered Psychotherapist
- Respiratory Therapist
- Social Worker (RSW, MFT)
- Speech Therapist (SLP)
- Traditional Chinese Medicine Practitioner (TCM)
- X-Ray Technician
- Any prescription medicine obtained through a licensed pharmacist is eligible. Include your prescription
- Cosmetic surgery – considered a medical expense if performed for medical or reconstructive purposes, such as correcting a congenital deformity or an injury from an accident
- COVID tests – completed and processed by a lab or pharmacy
- Electrolysis – amounts paid to a qualified medical practitioner
- Fertility-related procedures – expenses for medical treatment or hospitalization for conception of a child (expenses for a surrogate mother are not covered)
- Laser eye surgery – amounts paid to a medical practitioner or a public or licensed private hospital
- Medical services provided outside of Canada – eligible if paid to a medical practitioner or a public or licensed private hospital while traveling
- MRI, ultrasound, and X-ray treatments
- Diagnostic tests – non-holistic tests such as electrocardiographs, stool examinations, blood sugar tests, metabolism tests, radiological services, urine analysis, spinal fluid tests, allergy and asthma testing* (cannot be prescribed by a naturopath or nutritionist)
- Treatment centre for a person addicted to drugs, alcohol, or gambling*
- Air conditioner – for a person with a severe chronic illness, disease, or disorder (eligible amount is $1,000 or 50% of the cost, whichever is less)*
- Air filter, cleaner, or purifier – for severe chronic respiratory ailment*
- Apparatus or materials – paid directly to a doctor, dentist, nurse, or hospital
- Mobility devices – designed to assist an individual with a mobility impairment in walking
- Baby breathing monitor – with written certification from a medical practitioner confirming risk of sudden infant death syndrome*
- Bathroom aids – to help a person get in or out of a bathtub or shower, or on and off a toilet*
- Brace – for a limb or spine
- Braille devices – note takers, printers, synthetic speech systems, large print-on-screen devices, computer peripherals, and similar equipment for individuals who are blind*
- CPAP (continuous positive airway pressure) devices and supplies
- Crutches
- Diabetic supplies and devices
- Electronic bone healing device*
- Exercise equipment – prescribed by a physician for treatment or recovery from an illness or injury*
- Hearing aids or personal assistive listening devices, including repairs and batteries
- Heart and blood pressure monitoring devices, pacemakers, including repairs and batteries*
- Hospital bed – if required for use in the home*
- Incontinence supplies – catheters, catheter trays, tubing, etc.*
- Needles and syringes
- Orthotic inserts, orthopedic shoes or boots*
- Oxygen and related equipment*
- Phototherapy equipment – for treating psoriasis or other skin disorders
- Prosthetics – including artificial limbs
- Renovation expenses – specifically required for a person with a mobility impairment (doctor confirmation required)*
- Support hose or compression stockings – to relieve swelling*
- TENS or electrotherapy devices*
- Wheelchair, scooter, power-operated chair, or lifts – for individuals with mobility impairment*
- Wigs – for individuals with abnormal hair loss due to an accident, disease, or medical treatment*
- Doctor’s note or form completed by a doctor
- Employee premiums paid to a non-government health, dental, or vision plan (e.g., Blue Cross)
- Gluten-free products (only the cost difference from a standard product is eligible)*. A celiac diagnosis is required. Include this diagnosis in your first claim.
- Home care – for an illness or disability*
- Private healthcare – when membership or access fees to a private medical clinic are prepayment for eligible medical expenses
- School – for individuals with mental or physical impairments* (subject to additional conditions; please contact us before claiming)
- Travel for healthcare – when equivalent medical services are not available near your home and travel is reasonably direct and necessary* (subject to additional conditions; please contact us before claiming)
- Travel insurance – emergency medical coverage only
- Ambulance – to and from the hospital
- Hospital bills
- Vaccines*