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 Claim amounts, the 7% administration fee, and applicable taxes are automatically withdrawn from your business bank account via PAD — no manual invoice payments required.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
Our Commitment
Your admin fee.
Locked in.
7% on every claim. Guaranteed for 7 years. No rate increases. No renewal negotiations. No hidden fees.
Your price is locked in. You're not. Cancel anytime with 30 days' notice.
HSA Health Wallet
HSA Plan Structure .
Guidelines and Rules.
A Health Spending Account (HSA) is a CRA-recognized Private Health Services Plan (PHSP) that provides a flexible, tax-efficient way for employers to offer health benefits. Below is an overview of the key rules and structural requirements that govern Health Spending Accounts in Canada.
1. T4 Income
Employees must receive T4 employment income. As a best practice, annual HSA allocations should not exceed approximately 20% of an employee's T4 income, up to a maximum of $25,000 per year.
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.
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.