Province Guide

Health Spending Account Alberta

Potential annual savings on $10k expenses

$9,231

Tax rate

48.0%

Health Spending Account for Alberta Businesses

Alberta business owners can significantly reduce their health costs with a Health Spending Account. With a combined marginal tax rate of up to 48.0%, Alberta entrepreneurs save substantially by using pre-tax corporate dollars for medical expenses instead of after-tax personal income.

Why Alberta Businesses Choose HSAs

Traditional health insurance in Alberta is expensive and inflexible:

  • Annual premiums of $3,000-$8,000+ per person
  • Restrictive coverage with deductibles and co-pays
  • Use-it-or-lose-it policies
  • Annual increases regardless of claims

With a Frontier Health Spending Account:

  • No premiums - Pay only when you have expenses
  • 100% tax-deductible for your corporation
  • Tax-free reimbursements for you and your family
  • Flexible coverage for dental, vision, prescriptions, therapy, and more

Tax Savings for Alberta Business Owners

Based on Alberta's combined marginal tax rate of 48.0%:

  • $5,000 in expenses saves you approximately $4,615
  • $10,000 in expenses saves you approximately $9,231

This means for every dollar you spend on health expenses through your HSA, you save 48.0 cents compared to paying with after-tax personal income.

Who Can Use an HSA in Alberta?

HSAs are available to:

  • Incorporated business owners (sole proprietors are NOT eligible)
  • Employees of incorporated businesses
  • Family members (spouse, dependent children)

If you're self-employed but not incorporated, you may want to consider incorporating to access HSA benefits.

What Can You Claim in Alberta?

HSAs cover all CRA-eligible medical expenses, including:

  • Dental: Cleanings, fillings, crowns, orthodontics
  • Vision: Eyeglasses, contacts, laser eye surgery
  • Prescriptions: All prescription medications
  • Therapy: Physiotherapy, massage, mental health
  • Medical devices: CPAP machines, mobility aids
  • And many more eligible expenses

Getting Started in Alberta

  1. Sign up at Frontier HSA (takes 5 minutes)
  2. Set your annual budget per person
  3. Submit claims when you have medical expenses
  4. Get reimbursed within 2-3 business days

No setup fees. No monthly premiums. Cancel anytime.

Calculator

Tax Savings in Alberta

See how much you could save on health expenses with an HSA.

$2,0001,846

Traditional

$3,846

With HSA

$2,000

$5,0004,615

Traditional

$9,615

With HSA

$5,000

$10,0009,231

Traditional

$19,231

With HSA

$10,000

$15,00013,846

Traditional

$28,846

With HSA

$15,000

*Based on 48.0% combined marginal tax rate

HSA Benefits

100% Tax Deductible

All HSA expenses are deductible business expenses

No Premiums

Only pay when you actually use healthcare

Covers Everything

Dental, vision, prescriptions, therapy & more

Fast Reimbursement

Get your money back in 2-3 business days

Ready to save on health expenses in Alberta?

Set up your Health Spending Account in 10 minutes. Start saving on taxes immediately.

Get Started
CRA-compliantNo setup fees