In the past, only traditional Group Insurance Plans qualified for pre-tax savings. However, changes in the health insurance law are now allowing employers to provide a tax savings plan for their employees that have individual health insurance coverage. As an employer with less than 50 full time employees, group healthcare may not be an affordable option; however, providing healthcare expense relief to your employees at a tax savings is a great option to explore. The plans will allow premiums for individual insurance to be made before taxes are calculated. This will reduce the payroll tax burden for the employer and employee – therefore, this is a win-win!
With a Qualified Small Employer HRA, you enjoy the flexibility of choosing the plan option that best works for you. Want expenses reimbursed? Want to allocate a set amount for qualified expenses? Choose from three types of plans:
Insurance premium reimbursement only: Allows an employer elected dollar amount (subject to federal limits), available to participants who have Minimum Essential Coverage for themselves. For individually owned policies only; does not cover a group policy premium from a spouse’s plan.
Medical expenses and individual medical premiums: Allows claims for any 213d expense as well as premium reimbursement.
Medical expenses only: Covers medical expenses that the employer allows under IRS 213d; may cover all or any subset of expenses under the plan.
- Maximizes employee healthcare benefits.
- Provides tax savings for employers and employees alike.
- Works for small employers who do NOT offer group health insurance to employees.
- Improves competitive advantage with employers offering group health coverage.
- Simplified administration with our easy-to-use web portal.
- Facilitates confidence and peace of mind with money back and audit guarantees.
- Attracts and retains qualified employees.
- Multiple ways to obtain information: website and IVR/telephone.
- Fast reimbursements.
- Convenient email notifications for status of reimbursement requests.
- Helpful Customer Care Center.
- Online submission of reimbursement requests and direct deposit set up.
- Online history and status of reimburse-ment requests, and plan balance tracking.
Setup a plan to create tax savings for you and your employees today! f you have questions and would like more information, contact Mike Alexander Jr. at 281-448-3040