[GNC] Tracking Reimbursable Medical Expenses

[Aaron Laws]

Thank you for your response; questions inline.

On Fri, Jan 4, 2019 at 5:29 PM Stephen M. Butler <kg7je at arrl.net> wrote:

> At my previous employment (prior to retirement) the HSA account came
> with a charge card (used like a credit card) so the charges went
> directly against the HSA account.  Made tracking very simple and didn't
> have to send in reimbursement forms.  I presume that isn't the case with
> your employer's HSA processor.
>

I was issued a debit card with direct access to the HSA funds. I don't use
it because if I use my credit card, I get money back, and I don't want to
carry another card.


> I might be tempted to get a second credit card to use only for the
> medical items and pay that with reimbursement from the HSA. That way the
> balance on that card is what is still outstanding.
>

This is why I use double-entry accounting: so I don't have to do stuff like
that ;-)


> Thinking further.  If I as an employee charge something to my credit
> card that I will get reimbursed from my employer then things get trickier:
>

It's not reimbursed by my employer. If that was the case, then I think
things would get simple: it's not my expense. There would be no
expense:medical because the expense is actually my employer's expense. As
it is, the HSA money is *mine*, and the medical expense is *mine*. I think
what gets complicated is the rule that I can only transfer money from *my*
HSA to my chequing account in amounts equal to my medical expenses, and I
would like to track that accruing amount.


> 1.  I charge the item and enter a transaction between Liability:CC and
> Expense:whatever.
>
> 2.  I eventually (monthly) pay off the credit card from checking
> (Assets:Checking and Liability:CC).
>
> 3.  Somewhere in there I fill out an expense statement and send it in.
> That expense is no longer mine so I need to transfer it out of my
> expenses.  Assets:Reimbursement:MyEmployer and Expense:whatever
> (offsetting item #1)
>

Yeah, that's what I was saying above. In this case, step one can be a
transaction between Liability:CC and AR:MedicalReimbursable


> 4.  Finally I get paid and deposit the funds into my checking account.
> Assets:Checking and Assets:Reimbursement:MyEmployer
>
> In this case the HSA replaces the Employer.  And here you are acting on
> both sides.  So, to continue:
>
> 5.  Employer (HSA) gets the reimbursement request and sends out the
> funds.  (HSA:Expense:Medical and Assets:HSA).
>
> I really like the idea of a second CC and it gets paid only when
> reimbursed by the HSA (simplifies the accounts).
>
> --Steve
>

This sounds great except that the medical expense is mine. Any more
suggestions? Thanks again!