BASE^® Blog

Summer is fast approaching and this time of year everyone’s schedule seems to get a little busier. This also means summer activities and extra expenses. The BASE® 125 Cafeteria Plan is something employees can use to save tax dollars in the summer months, and throughout the year to help with extra costs of summer.

Employers are able to customize benefits and save money with the BASE® 125 Cafeteria Plan. By simply sponsoring a BASE® 125 Cafeteria Plan, employers can allow employees who are paying medical expenses, insurance premiums, or dependent care expenses to do so on a pre-tax basis. Due to the flexibility of this benefit, employers can choose one or more of the following pre-tax options to offer participants:

• Flexible Spending Account (FSA)
• Limited Purpose FSA
• Dependent Care Assistance Plan (DCAP)
• Premium Only Plan (POP)

Employees can utilize a DCAP during the summer while their kids are at daycare and no longer in school. They can also utilize the FSA for qualifying out-of-pocket expenses that could include anything from co-payments, prescription drugs, over-the-counter medical supplies, and more. This includes prescription sunglasses and first aid kits for those summer days! By sponsoring an FSA, employers provide another means for employees to pay for out-of-pocket medical costs through an employee funded benefit plan.

Anne M. shared with BASE® why her company decided to implement a 125 Cafeteria Plan.

“The BASE® 125 Cafeteria Plan allows employees the flexibility of choosing how much pre-tax money they want to set aside per their needs.  Not only can our staff have a way to pay their dental and vision, but they can also get reimbursement for childcare and some supplemental insurance pre-tax.  Plus, our BASE® representative is prompt and very thorough in getting answers to me, as well as any of my staff.  The BASE® staff is excellent on every level.”

Creative benefit planning can help keep more fun in the sun with the BASE®125 Cafeteria Plan. For more information, contact us today at 1-888-386-9680.

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In the Star Wars movie franchise, Obi-Wan Kenobi explains the Force to Luke as “an energy field created by all living things.  It surrounds us, penetrates us, and binds the galaxy together.”  Let BASE® be the Force that surrounds your business with compliance within the ACA, IRS, DOL, ERISA, and insurance rules and regulations, penetrates your business with our commitment and outstanding customer service, and binds all your benefit needs and money saving strategies together!

BASE® offers businesses a variety of Health Reimbursement Arrangements tailored to each business’ structure and needs.  With an HRA in place, there are sizeable savings for both the employer and employee.  Whether a business owner is self-employed or has a business with multiple employees, BASE® HRAs have varying plan designs to meet client needs.

Take for example the BASE® Section 105 HRA, self-employed business owners are able to take advantage of tremendous tax savings by deducting up to 100% of their family’s qualifying medical expenses as a business deduction.  More often than not, small businesses only take the standard personal deduction for health insurance costs when filing taxes.

With the Section 105 HRA, on average, small business owners save over $4,700 in tax savings each year.  Not only do they reduce the financial impact of health care expenses, but can also pay for eligible out-of-pocket health care expenses while paying no taxes on their reimbursements.

Sounds like a good Force to be partnered with, but don’t just take our word for it.  Check out what Colleen E., a BASE® HRA client, had to say:

The Section 105 BASE® HRA is the most affordable health reimbursement plan that we have found. The staff has been very friendly and helpful from the very beginning. From the guidance offered the very minute we enrolled in the plan to the necessary documentation, we have felt everything has been very easy to understand. My husband and I feel that the staff is very knowledgeable with answers to any questions, and always keeps us informed of compliance issues that might arise in the age of healthcare reform. The best part would be the thousands in additional tax savings each year that wouldn’t be possible without the BASE® HRA in place.

If you are a self-employed farmer or business owner or own a small company looking for ways to save on the cost of out-of-pocket medical expenses and health insurance premiums, BASE® has many HRA options available for you to inquire about.  They have the knowledge to help you get started with the proper option for you.  As a self-employed farming team, we highly recommend the Section 105 BASE®HRA to create a means to save on your taxes each year.

BASE® provides plan design, implementation, and compliance services with a staff that is well- trained in assisting each and every business in maximizing a company’s tax savings.  Plus, BASE® is making sure the plan is in compliance with all government rules, as well as, insurance rules and regulations.

May the force be with you.  Call today to take advantage of the tremendous tax savings options with BASE®.  For more information, please call 1-888-386-9680. 

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