Health Spending Account (HSA) Guide Effective June 1, 2026, the Board of Trustees of the Millwrights’ Health & Welfare Trust Fund for Alberta (“the Plan”) introduced a Health Spending Account (HSA) benefit of up to $750 per year for eligible active members and retirees. The amount credited to your HSA will be determined annually by the Trustees and may vary based on the financial position of the Plan. Beginning in 2027, the annual HSA credits will be deposited on January 1 of each year. Members who become eligible during the year will receive a prorated allocation based on the number of months remaining in the calendar year. For 2026, eligible members received a prorated HSA allocation of $437.50 on June 1, 2026, representing seven months of the annual allocation. Members who become eligible after June 1, 2026, will receive a prorated HSA allocation based on the number of months remaining in the calendar year.
What is a Health Spending Account? A Health Spending Account helps cover eligible health and dental expenses that are not fully reimbursed under the Plan. You can use your HSA credits for eligible expenses incurred by you or your eligible dependants while you remain eligible for benefits, including periods covered by banked hours or selfpayments. Generally, expenses that qualify as eligible medical expenses under Canada Revenue Agency (CRA) guidelines may also be qualify for reimbursement through your HSA. Tax Treatment HSA credits are not taxable when they are deposited into your account or when reimbursements are paid to you. Reimbursements received through your HSA do not need to be reported as income on your tax return. However, expenses paid through your HSA are not eligible to be claimed as a medical expense deduction on your income tax return.
How Does the HSA Work? Using your HSA is simple: Step 1 – Pay for the Service Pay your healthcare provider as you normally would. Step 2 – Submit Your Claim Submit your claim through the regular Benefit Plan claims process. Step 3 – Plan Coverage Applies First Your regular Benefit Plan coverage will be applied first. Step 4 – HSA Covers Remaining Eligible Expenses If a balance remains after Plan coverage has been applied, the unpaid amount may be reimbursed from your HSA, up to your available HSA balance. Note: HSA reimbursements are paid directly to you and cannot be paid directly to a healthcare provider. Example You purchase eyeglasses costing $700. • • •
Plan reimbursement: $600 Remaining balance: $100 HSA reimbursement: $100
Your out-of-pocket cost is $0.
Which Expenses are Eligible? Eligible expenses include, but are not limited to: • • • • • •
Benefit Plan deductibles and co-payments Vision care expenses that exceed Plan coverage Hearing care expenses that exceed Plan coverage Dental expenses that exceed Plan coverage Medical expenses that exceed Plan coverage Other medical or dental expenses that are not covered by the Plan but qualify as eligible medical expenses under CRA guideline.
For more information, refer to the CRA’s List of Eligible Medical Expenses.
What Happens to Unused HSA Credits? Unused HSA credits may be carried forward for one additional calendar year, subject to the discretion of the Trustees. Under the Income Tax Act, HSA cannot be carried forward for more than one year and any remaining balance will expire after that period. For the 2026 HSA allocation, any unused credits remaining on December 31, 2026 may be used until December 31, 2027. Any credits remaining after that date will expire. The Trustees will determine annually whether future HSA allocations will be eligible for carry forward
What Happens if You Lose Eligibility? Your HSA entitlement is based on the period during which you are eligible for Plan benefits. If you become ineligible during the year, your HSA entitlement will be adjusted to reflect only the months you were eligible. If you regain eligibility later in the same calendar year, you may receive a new prorated allocation for the remainder of the year. Any HSA credits previously used will be taken into account. Example Annual HSA allocation: $750 • •
HSA amount used before becoming ineligible: $150 Period of ineligibility: September and October (2 months)
Reduction for 2 months of ineligibility: • •
Monthly value: $750 ÷ 12 = $62.50 Reduction: 2 × $62.50 = $125
Adjusted annual entitlement: •
$750 − $125 = $625
Remaining available balance upon regaining eligibility: •
$625 - $150 already used = $475
What Happens Upon Retirement? Your HSA coverage does not change when you retire. Eligible retirees will continue to have access to their HSA benefits under the Plan.
Can HSA Credits Be Paid Out In Cash? No. HSA credits: • •
Cannot be converted to cash Cannot be transferred to another person
How Can I Check My HSA Balance? You can view your available HSA balance: • •
Through the Member portal; or By contacting the Plan Administrator
How to Submit an HSA Claim? Submit your HSA claim through the regular claims process using the same information required for a normal benefit claim, including: • • • • •
The name of the person receiving the service The type of service or supply provided The name and address of the service provider The amount charged and paid The date the service was provided
Eligible expenses will first be reimbursed under the regular Benefit Plan. Any remaining expenses may then be reimbursed from your HSA account, up to your available HSA balance.
Questions? If you have any questions, please contact Manion, your plan administrator, for more information. Millwrights’ Health & Welfare Trust Fund for Alberta Phone: 1-800-263-5621 Email: askus@mymanion.com Address: 500-21 Four Seasons Place, Toronto, ON, M9A 0A5 Can I receive future notices by email? If you are a Member of the Millwrights’ H&W Plan, you may choose to receive future notices by email. To subscribe, contact the Plan Administrator by phone or email us with “Subscribe” in the subject line and your name and phone number in the message. Note: The Trustees closely monitor coverage and claims experience, and may make future changes, including benefit reductions, to protect the financial well-being of the plan.