The 21st Century Cures Act, signed into law in the waning days of the Obama administration, provides funding for cutting-edge medical research and other improvements in the health care system. But it also allows small businesses to offer stand-alone "health reimbursement arrangements" (HRAs) to their employees.

An HRA provides special accounts for health care expenses, much like health care flexible spending accounts (FSAs). Unlike FSAs, however, HRAs are funded solely by employer contributions, rather than by payroll deductions from employees. Contributions are exempt from taxes, as are distributions for qualifying health care expenses.

Funds in an HRA may be used for co-payments, deductibles, and co-insurance, as well as for regular doctor and hospital visits. Frequently, an employer will pair an HRA with a high-deductible health insurance plan.