Account-based Medical Plans

To support making the right decision for you and your family, we offer two account-based medical plans that are designed to get you the best value when you receive care.

Options include:

  • The Health Reimbursement Account (HRA) Plan, or
  • The Health Savings Account (HSA) Plan.

Both plans offer:

  • An account to help pay for medical expenses until the deductible is met.
  • The opportunity to earn account dollars from Target by completing activities that improve health and finances through Well-being Rewards.
  • Automatic enrollment in the Vision Exam Plan with no additional premium. Team members who wear glasses or contacts (or have dependents who do) may want to consider enrolling in the Vision Eyewear Plan.

The primary differences between the HRA and HSA Plans are:

  • How team members pay for the medical care received
    • HRA Plan: Pay more out of every paycheck, but have a lower deductible.
    • HSA Plan: Pay less out of every paycheck, but have a higher deductible.
  • How team members pay for prescription drugs
    • HRA Plan: Copay for prescription drugs
    • HSA Plan: Pay the full cost of prescription drugs until the deductible is reached
  • How the accounts work
    • HRA Plan:
      • Personal contributions cannot be added to the account, but unused dollars earned as Well-being Rewards rollover if the team member remains in the HRA Plan.
      • Eligible medical expenses are automatically paid from the account.
      • If the team member leaves Target, any remaining dollars go back to Target.
      • Account dollars cannot be used to pay for pharmacy, dental or vision expenses.
    • HSA Plan:
      • Team members can add their own money to the account as well as earn account dollars through the Well-being Rewards program.
      • The dollars roll over to the following year. The dollars remain with the team members even if they change plans or leave Target. The dollars can be used in retirement.
      • The account earns interest tax-free, and account dollars can be invested once the balance reaches $2,100.
      • The account dollars can be used for eligible medical, pharmacy, dental and vision expenses.