HSA for Engineers and Technical Professionals in Canada

By Frontier Team•February 10, 2026•4 min read

Whether you're a software developer, civil engineer, mechanical engineer, or electrical engineer, there's a good chance you're incorporated. Many engineers in Canada set up a corporation for consulting or contracting work -- and if you're paying yourself a T4 salary through that corporation, you already qualify for a Health Spending Account.

Why Engineers Should Care About HSAs

Most engineers who incorporate are focused on the tax advantages of billing through a corp. But they often overlook one of the simplest wins available: using pre-tax corporate dollars to pay for healthcare.

Right now, you're probably covering dental visits, glasses, prescriptions, and therapy out of pocket with personal after-tax income. That means every $1,000 in health expenses actually costs you $1,400 to $1,800 once you account for income tax.

With an HSA, your corporation reimburses those same eligible medical expenses and deducts the full amount as a business expense. The reimbursement is completely tax-free to you. No premiums, no insurance company, no wasted coverage.

Stop Relying on Contract Client Benefits

If you've worked as a contractor or consultant, you know the drill. Some clients offer benefits through their group plan, some don't. Coverage gaps between contracts are common. And when a contract ends, so does your coverage -- right when you might need it most.

An HSA through your own corporation puts you in control. It stays with you regardless of which client you're working for, and you decide how much to budget each year.

Common Expenses Engineers Claim

Here are the expenses we see most often from engineers and technical professionals:

  • Vision and glasses -- screen-heavy work means frequent prescriptions and updated lenses
  • Physiotherapy and massage -- for back and neck strain from long hours at a desk
  • Ergonomic equipment -- prescribed medical devices to prevent repetitive strain
  • Dental -- cleanings, fillings, and orthodontics for you and your family
  • Prescriptions -- ongoing medications that add up fast
  • Mental health -- therapy and counselling, which many engineers use but rarely talk about

Your spouse and dependent children are covered under the same plan as well.

A Real Example

James is a software engineer billing $160,000 per year through his corporation. He sets up an HSA with a $3,000 annual limit. Over the year, his family's expenses add up:

  • New glasses and eye exams: $700
  • Physiotherapy for neck pain: $600
  • Family dental work: $900
  • Prescriptions: $400
  • Therapy sessions: $400
  • Total: $3,000

Without the HSA, James would need roughly $4,200 to $4,500 in pre-tax personal income to cover those costs. With the HSA, his corporation deducts the full $3,000 plus a small admin fee. That is over $1,200 back in his pocket every year.

Running a Small Consulting Firm?

If you run an engineering consultancy with a few employees, you can extend the HSA to your team. It is one of the most affordable benefits you can offer -- no monthly premiums, no insurance renewals, and your team only uses it when they actually need it. The full amount is deductible for your corporation, and it helps with hiring and retention in a competitive market.

Get Started With Frontier Health

At Frontier Health, setting up an HSA for your corporation takes about 10 minutes. Plans for solo incorporated professionals start at just $120 per year plus a small percentage per claim. Submit receipts through our app, get reimbursed within 48 hours, and everything stays fully CRA-compliant.

Simplify Your Business Health Benefits

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