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We'll focus on your benefits, you focus on your small business

Weighing your options for small business health insurance? Reimburse your employees tax-free with the industry’s only QSEHRA platform with in-house enrollment support. It comes without the expense and hassle of a group plan and without the taxes on stipends.

  • Manage benefits for an hour or less per month
  • Offer health insurance on your budget & save on taxes
  • Boost recruitment and retention in tight hiring market
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qualified small employer hra

Take Command makes QSEHRA simple and easy.

Flexible Designs

No more one-size fits all plans! QSEHRA plans can be customized and designed to achieve you or your clients’ goals and are more flexible with what types of plans they will reimburse.

Simple Administration

Take Command will automatically generate the documents your employees need and can help them search for and enroll in a plan online.

On-Ramp to Benefits

80% of our small business clients are net new to benefits. QSEHRA is an affordable, simple way to offer scalable benefits to your team on your budget.

Learn More

Did you know that 80% of our small business clients are new to benefits?

Check out our QSEHRA Guide to compare HRAs with stipends and group plans, and determine which option is best for your business.

best qsehra administrator

Join the 5,000+ businesses saving on health benefits with Take Command

Union Orthotics and Prosthetics

"Facing a 40% renewal, our broker introduced us to the idea. Take Command provides the tools there for everybody to enroll in very easy formats on the platform."

Read Case Study

Taro Health

"To attract and maintain talent, we needed benefits. Managing our ICHRA has been simple and hands-off. I spend two hours a month managing and administering it."

Read Case Study


"Take Command has made it simple to set up and administer the small business HRA for StreamCare and we highly recommend it to other small businesses."

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The small business alternative to group health insurance – QSEHRA

If you’re a small business owner (with 50 or fewer employees) and want to offer healthcare benefits without being tied to a rigid group plan, then a qualified small employer health reimbursement arrangement (QSEHRA) is a great option for you. 

Take Command qualified small employer health reimbursement arrangement administration software is a powerful alternative to small business health insurance.

Your small business HRA gives the power back to you and your employees. You get to choose how to structure your plan, and your employees get to choose the healthcare insurance plan that works best for them. 

How does QSEHRA help small businesses? 

A QSEHRA can help small to medium size businesses be competitive in the job market, and attract and retain top talent with flexible benefits offerings. Traditional group health insurance isn’t a great fit for small employers and many are looking to get away from old-school health insurance requirements like 

  • Pricey renewals
  • Paying for things your employees don’t want or use
  • Group participation requirements
  • Taking on risk

Break out of the mold and find a solution that fits your business. Just because something’s been done a certain way doesn’t mean it’s the best way. QSEHRA gives employees the power to choose their own individual health insurance. You get the benefits of reimbursing your employees for health insurance, such as:

  • Tax efficiency
  • Flexible design
  • Budget control
  • Optimized benefits
  • You can get out of the health insurance risk management game

Sounds awesome, right? 

How much will you save with a QSEHRA?

Since QSEHRA reimbursements are tax-free, small business owners can enjoy considerable savings. Check out our QSEHRA tax savings calculator to get a savings estimate.

QSEHRA rules

QSEHRA rules for employers and employees include some standard HRA rules associated with every HRA account. For example, the business owns the HRA, not the employee. Only the company can put money into the HRA, HRA funds do not earn interest, and the business determines the amount contributed to the HRA. 

Employees can use QSEHRA money to pay for personal and family medical expenses. The rules for reimbursement from a QSEHRA are found in IRS Publication 502, and any unused money stays with the business. Rollover of funds for employees with a QSEHRA is not guaranteed. Rollover depends on the type of plan and the business's decision about allowing it or not. 

→ Deep dive into HRA Account Rules 

What are the QSEHRA rules and 2023 QSEHRA limits? 

Businesses with fewer than 50 employees can contribute a maximum of $5,850 for individual employees and a contribution of $11,800 for employees with a family. This is an increase over the QSEHRA 2022 limits! Compared to QSEHRA limits 2023, 2023 QSEHRA limits have increased by $400 for individual employees and $750 for employees with a family annually. 

Offering personalized benefits for your small business is possible with Take Command. Our qualified small employer health reimbursement arrangement administration software makes QSEHRA administration simple and easy. 

Here’s what you can expect from your QSEHRA when you work with a skilled HRA administrator like Take Command. 

Flexible Designs: Customize a plan that fits the needs of you and your mixed workforce employees. Employers can choose different reimbursement amounts for each employee class based on different class distinctions. 

Simple Administration: Take Command helps you with the design and management of your QSEHRA. This includes process, compliance, reporting, employee communication, and employer support. We’ll ensure you know the QSEHRA rules, 2023 QSEHRA limits, and what QSEHRA funds can be used for. 

No Minimum Contribution Requirements: You can offer different reimbursement allowances based on family status and there are no minimum 2023 QSEHRA limits or minimum contribution requirements, only a maximum limit. 

Tax-advantaged: QSEHRA is completely tax-free for employers and tax-free for employees with minimum essential coverage (MEC).


Ready to Get Started?

Begin designing your ICHRA plan today and be set up in minutes. You could start reimbursing your employees tax-free sooner than you think. 


Let's do this!

Begin designing your QSEHRA plan today and be set up in minutes. You could start reimbursing your employees tax-free sooner than you think.

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QSEHRA requirements

To set up a QSHERA, a small business must meet two QSEHRA requirements to be eligible. The employer QSEHRA requirements are: 

  1. Be “small”: The business or non-profit must be a “small employer” in the eyes of the IRS, meaning it must have 50 or fewer full-time employees to meet QSEHRA eligibility. 
  2. Not have a group health plan: The small business or non-profit cannot have a traditional group health plan. 

To qualify for QSEHRA tax-free reimbursements, employees must meet two QSEHRA requirements to be eligible:

  1. Have individual health insurance coverage. Plans must provide Minimum Essential Coverage (MEC) as defined by the IRS in Section 106(g). 
  2. Submit claims for reimbursement. Employees need to prove their expenses met the QSEHRA requirements for qualified health expenses. 


ICHRA and QSEHRA are both awesome tax-advantaged tools to consider when searching for a small business health insurance solution for your company. There are a few key differences, like what kind of business qualifies, reimbursement limits or maximums, employee eligibility, and more. Here’s a helpful blog complete with a side-by-side comparison of ICHRA vs QSEHRA. 

See the chart ICHRA vs QSEHRA.

QSEHRA pros and cons          

There are always upsides and downsides to consider when deciding which healthcare plan to choose. It really depends on the specifics of your situation and the plan you choose. Let’s review some of the general pros and cons of QSEHRA plans. 

In a nutshell, there are way more pros than cons to QSEHRA. Here’s a few. 

  • Tax efficiency
  • Flexible design
  • Budget control
  • Optimized benefits
  • You can get out of the health insurance risk management game

Advantages of QSEHRA plans:

Cost savings: Employers control how much is spent on health coverage and decide the maximum reimbursement allowances. And any unused HRA account funds can roll over at the employer's discretion annually; otherwise, the funds stay with the employer.

Tax advantages: Tax benefits for employers and employees. Employers can deduct reimbursements made to employees through QSEHRA, reducing their overall tax liability. And reimbursements given to employees through QSEHRA are not considered taxable income, so employees won’t have to pay taxes on reimbursements.

Greater plan flexibility: Employers can customize the plan and choose the type of coverage they want to offer, the amount of the reimbursement, and the eligibility requirements. Employers can also choose to offer different levels of coverage to different classes of employees.

Health benefit choice: Employees choose the individual plans and doctors that work best for them and can use QSEHRAs for medical and dental expenses, prescriptions, annual exams, birth control medications, and more.

Risk de-management: Employers no longer need to worry about factoring managing employees’ health risks into the business strategy.

Plan portability: Employees can keep their individual health insurance plan and don’t have to lose health coverage tied to a specific job. 

ACA compliance: QSEHRA also helps employers comply with the Affordable Care Act (ACA). The plan meets the ACA’s minimum requirements for employer-sponsored health plans, allowing employers to avoid potential penalties.

Administration simplicity: QSEHRA doesn’t require employers to manage a large group insurance plan, which can save employers time and money by streamlining their administrative processes.

Potential QSEHRA Disadvantages

Non-transferable funds: QSEHRA funds stay with the employer if the employee leaves the company. The good news is that the employee keeps the health insurance plan they selected.

Cosmetic procedures not covered: Elective cosmetic procedures like teeth whitening aren’t covered. Most group plans don’t cover elective cosmetic procedures, either. 

Limited coverage: Provider options may be limited based on the insurance market per geographical region.


QSEHRA eligible expenses

When you set up your QSEHRA, you’ll want to ensure your employees know what qualifies for QSEHRA reimbursement. QSEHRA-eligible expenses include a variety of things that may include a health insurance premium, prescription and non-prescription drugs, personal hygiene products, doctor visits, dental and vision care, mental health care, and more, as long as the employee has minimum eligible coverage (MEC). Make sure that the expenses follow the guidelines by IRS Publication 502 Medical and Dental Expenses.

Here’s a full list of QSEHRA-eligible expenses for employees in 2023. 

How to set up a QSEHRA

When you work with a QSEHRA third-party administrator like Take Command, we ensure your QSEHRA administration is straightforward and simple. Sure, you could do a self-administered QSEHRA, but without a skilled HRA administrator in your corner – that includes things to make it easy on you, like QSEHRA administration software and QSEHRA plan document template – you’re in for a lot of work and headaches. 

So, pro tip, go with a QSEHRA third-party administrator when thinking about how to set up a QSEHRA. 

Here’s how to set up a QSEHRA. 

Employees select their preferred health insurance plan, pay for health care expenses upfront then the employer reimburses them. Employers can offer health care benefits without being tied to a group plan and employees gain control of where they spend their money and chose the providers that they want.

How to set up QSEHRA in 4 simple steps

  1. The employer designs their QSEHRA plan. Pro tip – it’s even easier when you work with an experienced partner like Take Command.
  2. Employees purchase their preferred health insurance plan. Take Command even helps them do it and makes it super easy with tons of employee resources, including our window shopping tool. 
  3. After employees purchase their plans of choice, they can then submit eligible reimbursement claims to the employer.
  4. The employer reimburses employees for all valid reimbursement claims.


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