|
Through provisions of Section 125 of the Internal Revenue Code, your employees can elect to pay their portion of group health premiums on a pre-tax basis.
This option reduces your employees' gross wages by the amount they contribute to the benefit plan on a pre-tax basis. And because these dollars are considered to be employer expenses, your company will save on payroll taxes and Workers' Compensation premiums.
And because your employees reduce their taxable income with those pre-tax contributions, they will pay lower federal and state income and social security taxes, thus increasing their take-home pay!
In addition, recent changes to the Shared Benefits Plan™ allow employees enrolled in HSA-compatible High Deductible Health Plans to save even more by making HSA contributions on a pre-tax basis.
So, with the Shared Benefits Plan™, everyone saves!
[Please note that if disability or life insurance premiums for coverage over $50,000 of life insurance are paid with pre-tax dollars, any benefits paid out will be taxable to the recipient.]
|
